Character.AI, a platform that allows users to create AI-powered chatbots modeled after figures like Tony Soprano and Elon Musk, is in talks with investors about raising additional funding, according to a person with direct knowledge. The discussions come just four months after the company announced a $150 million funding round at a $1 billion valuation.

New capital could help the 20-month-old startup support skyrocketing demand for its chatbots, which rely on computing-intensive models to deliver responses. At the same time, the 30-person startup is facing pressure to keep millions of users engaged, especially as larger tech companies like Meta Platforms test rival products.

Meta Platforms has been testing a product similar to Character.AI that enables people to chat with avatars who assume different personas, such as Abraham Lincoln, according to a person with direct knowledge of the product.