Huynh said rapid AI advances reduced the value gap Reforged Labs was selling. Reforged Labs launched an AI-powered video ad creation platform for game studios in open beta in 2024. AI advertising startup Reforged Labs is winding down after three years due to shrinking market opportunity as advances in AI enable game studios to build more creative tools in-house. In a LinkedIn post, Reforged Labs co-founder and CEO Robert Huynh said the company's biggest customers signed six-figure contracts, but there were too few studios operating at that scale to sustain the business. Huynh thanked the Reforged Labs team, customers, investors including Y Combinator, DCM Ventures and Epakon Capital, and said he intends to continue building in the future.