Bertelsmann Digital Media Investments (BDMI), a corporate venturing subsidiary of media group Bertelsmann, led a $20m series C round for Israel-based video creation platform Wibbitz yesterday that included several other corporate investors.
Media companies The Weather Channel, TF1 Group and Associated Press also took part in the round, as did mobile health technology developer NantMobile and venture capital firms Horizon Ventures and Lool Ventures.
Founded in 2011, Wibbitz has developed technology that uses artificial intelligence (AI) to convert text-based stories into video content. Its customers include media outlets Bloomberg, Cox Media Group, Times of Israel and The Telegraph.
The company expects to have increased revenue by 400% year-on-year by the end of 2017. It will use the series C funding to expand its workforce, further develop its AI technology and launch products in new markets.
Wibbitz raised $8m in a 2015 series B round featuring NantMobile, Horizon Ventures, Lool Ventures, Kima Ventures and Initial Capital. The latest round took its overall funding to $30.8m, the company said.
Urs Cete, BDMI’s managing partner, said: “Whether it is breaking news a publication needs out now, or vertical content consumed on Snapchat, video is here to stay.
“Over 50% of publishers say video is the most essential aspect of their editorial and monetisation strategies, and Wibbitz is helping industry leaders exceed their goals with powerful automation that enables a new way to create visual content.”