Synthesia has claimed the crown of Britain’s biggest GenAI company after raising $180mn at a $2.1bn valuation.
The London-based business generates lifelike avatars for video content. Enterprises use the software to produce training content and corporate communications.
The tech has made Synthesia a leader in the burgeoning synthetic media industry. According to the startup, over 60,000 businesses are customers — including more than 60% of the Fortune 100.
Investors have also shown a growing interest. In 2023, Synthesia earned unicorn status after securing $90 million in Series C funding at a valuation of $1 billion.
The latest cash injection creates another milestone. According to Dealroom, Synthesia is now the UK’s largest GenAI media company by valuation.
The startup wants the fresh funds to fuel a new phase of growth. At the core of the plans is Synthesia 2.0 — a product billed as the world’s first enterprise AI video platform. Development of the system is now underway.
Synthesia is also preparing for the next generation of synthetic media. Victor Riparbelli, the company’s CEO and co-founder, expects big breakthroughs from blending AI videos with reasoning systems — such as large language models.
“We will unlock a new type of media that can think, narrate, and personalise content for us,” he told TNW via email.
“These new interfaces will be centred around intuitive, human communication that is much more effective than text. You could imagine an AI that connects to your Spotify and teaches you music theory based on your skill level and favourite artists.
|At work, we may interact with virtual guides that help us make buying decisions, coach us and teach us new skills like you would with a tutor in the real world.”
Naturally, Riparbelli also shared the funding news in an AI video. Fully generated with Synthesia, the clip summarises the announcement in eight languages.
Synthesia’s position in Europe’s GenAI landscape
Announced today, Synthesia’s Series D round was led by VC giant NEA. Existing investors GV and MMC Ventures also participated, alongside new backers WiL, Atlassian Ventures, and PSP Growth.
The landmark raise has renewed optimism about Europe’s AI landscape. Yoram Wijngaarde, Dealroom’s founder and CEO, is bullish about developments across the continent.
“Synthesia’s Series D signals that European AI is picking up where they left off in 2024,” he said.
“AI startups accounted for over 25% of European venture capital last year, up from 15% just four years ago. In one of the most significant technological waves in decades, Synthesia stands out among the emerging AI unicorns reshaping the landscape from this side of the Atlantic.”
The funding was also welcomed by politicians in Synthesia’s home country, who announced new plans this week to “turbocharge AI.”
Peter Kyle, the UK’s science and technology secretary, said the funding “showcases the confidence investors have in British tech” and highlights the “global leadership” of the country’s GenAI pioneers.
Riparbelli is also optimistic about the UK’s AI scene. He pointed to its combination of talent, capital, and infrastructure. He also praised Britain’s production of global leaders in the field.
“There are many countries that want to become AI superpowers but few have a chance to actually succeed,” he said.
“The UK is among the top three for sure, because it has a combination of talent, capital, and infrastructure. What’s also remarkable about the UK is that it produces global leaders, not just regional players.”