Adobe, the renowned software company, has recently acquired Rephrase.ai, an AI-driven video creation startup based in Bengaluru, making it their first generative AI acquisition in India.
According to the Economic Times, Adobe plans to integrate Rephrase’s technology stack and generative AI video capabilities into their native video-editing platform, Creative Cloud. This strategic move aims to enhance and expand Adobe’s range of services.
The acquisition of Rephrase.ai will empower Adobe to seamlessly incorporate AI-driven video content tools across their software suite. This comes at a time when corporations are actively seeking AI-powered solutions to complement their daily work processes.
Rephrase.ai, founded in 2019 by Ashray Malhotra, Nisheeth Lahoti, and Shivam Mangla, all graduates of the prestigious IIT, is an artificial intelligence startup that offers a text-to-video generation service. Their platform has been instrumental in assisting influencers and video creators in producing top-notch video clips. To date, Rephrase.ai has secured an impressive funding amount of $13.9 million.
While specific details regarding the final deal size have not been disclosed, it is expected that the majority of Rephrase.ai’s team will join Adobe. The agreement will likely involve a complete cash payout for Rephrase’s investors, with the founders anticipated to receive a combination of cash and Adobe stock.
Ashley Still, Senior Vice President of Creative Cloud, expressed excitement about the acquisition in an internal memo to employees, stating, “With the expertise and technology provided by the Rephrase.ai team, we will be able to enhance the value we deliver to our customers and expand our generative video capabilities within our market-leading creative applications.”
By integrating Rephrase.ai’s cutting-edge AI technology and video creation tools, Adobe aims to provide even more value to its customers and solidify its position as a leader in the creative software industry.
In conclusion, Adobe’s acquisition of Rephrase.ai marks a significant milestone for the company as it strategically harnesses the power of generative AI and expands its services to cater to the evolving needs of its users.