Recent platform updates include personalized avatars, emotional expressions, and collaborative editing tools, enhancing its competitive edge in the AI video market.

Synthesia, a London-based AI video avatar platform, has successfully raised $180 million in a Series D funding round led by NEA, achieving a valuation of $2.1 billion.

The AI startup landscape is thriving, with AI companies attracting nearly 50% of venture capital investment in the U.S. in 2024, highlighting the sector's rapid growth.

Despite facing competition from companies like Colossyan, HeyGen, and Veed, Synthesia's strong revenue in the U.S. and expanding global presence indicate potential for further growth.

Founded in 2017 by Victor Riparbelli and others, Synthesia specializes in ethical AI video applications, allowing users to create videos by typing scripts that are transformed into avatar-driven content.

The company reported significant growth, generating over $70 million in revenue in 2024, a notable increase from $31.3 million in 2023.

This funding comes shortly after UK Prime Minister Keir Starmer announced new AI policies aimed at supporting the sector.

Synthesia plans to use the new funding primarily for hiring and expanding its presence in the Asia Pacific region, as most of its current business is concentrated in Europe and North America.

The company's growth aligns with the increasing global adoption of AI for operational efficiency and innovation, underscoring its role in transforming media production.

CEO Victor Riparbelli expressed optimism about the potential for Synthesia to revolutionize organizational communication and video content creation with its new investment.

While Synthesia faces challenges such as high energy consumption for AI training and ethical concerns surrounding deepfake misuse, it remains committed to ethical practices.

Synthesia has become the first AI video company to achieve ISO 42001 compliance, ensuring safe and responsible AI use.