Verbit, an AI-powered transcription and captioning platform, just raised an additional $250 million in a new round of funding. This brings the company’s valuation to $2 billion and positions it as the first Israeli startup to reach a “unicorn” valuation.
Led by Return Path founder and CEO David Rosenblatt, this new round of funding is set to propel Verbit’s growth and enable them to expand their AI transcription and captioning services.
Verbit Raises $250M, Reaching $2B Valuation
Verbit is a cloud-based artificial intelligence (AI) company that provides automated transcription and captioning services to customers from various industries such as education, media, legal, and healthcare. Founded in 2018 by Tom Livne and Ohad Afek, Verbit has quickly become the leading provider of AI-driven transcription solutions for higher education institutions worldwide. Their solution enables universities to automatically transcribe lectures, recordings, and other educational materials to make them accessible for students.
As part of their development strategy, Verbit has recently closed $250 million in Series D funding from Return Path founder David Rosenblatt. This round is estimated to value the company at over $2 billion. It will be used to expand its AI-driven transcription and captioning services across industries where automated transcription can deliver efficiency.
The new infusion of funds will also enable Verbit to further develop its product suite by incorporating valuable features such as quality indexing ratings for accuracy assessment and real-time live transcribing for online classes. Additionally, the funding will expand Verbit’s global presence by building international teams in key markets such as China and India. Through this initiative, Verbit aims to bring its superior AI technology that automates transcription processes while enhancing accuracy levels far above what was previously achievable with manual methods or traditional speech recognition software.
Funding Round
Verbit, the leading AI-powered transcription and captioning provider, has raised $250 million in a funding round led by Return Path founder David Rosenblatt. This funding round values the company at $2 billion, making it one of the most valuable companies in the AI space.
Let’s explore the details of this funding round and why it’s important for the industry.
Return Path Founder Leads Round
Verbit, the world’s leading AI-driven transcription and captioning platform, has raised $250 million in new funding. This round, led by Return Path founder David Rosenblatt, values the company at $2 billion.
The Series C round included participation from Goldman Sachs Growth Equity, Insight Partners and other strategic investors, bringing Verbit’s total funding to $378 million. This new capital will grow its research and development capabilities and expand its products into new markets.
An AI-driven transcription and captioning platform, Verbit provides automated services for accelerating the creation of transcripts, subtitles/captions and more for customers. The platform applies machine learning capabilities to enable customers in industries such as education technology, media production, legal services, market research, compliance and mhealth to unlock insights from audio/video content quickly and cost-effectively.
Commenting on the round of funding led by himself, David Rosenblatt said: “I’m humbled and proud to be part of this round of investments which will enable Verbit to continue making an impact on its industry globally.” He went on further to add that with Verbit’s growth potential being demonstrated for more than four years now since its establishment in 2015, he looks forward to seeing the application of their advanced artificial intelligence technologies transforming even more customer experiences across various industries worldwide.
$250 Million Raised
Verbit, an AI-powered transcription and captioning platform, recently announced that it has successfully closed a new round of funding worth $250 million. Return Path founder David Rosenblatt led the round and other major investors included Viola Ventures, Cayman Islands-based Next Gear Ventures, Tiger Global Management and Quadrille Capital. This marks the company’s sixth round of funding since its inception in 2018.
The investment brings Verbit’s total investments to an impressive $712 million, valuing the company at nearly $2 billion. Verbit plans to use this new capital to expand its engineering team, primarily focused on research and development to improve its technology offerings for customers worldwide. The company will also look to make strategic acquisitions to continue growing market share in 2020 and beyond.
The massive round underscores investor confidence in the Verbit platform and the rapidly growing demand for artificial intelligence (AI) solutions across many industries such as legal services and education technology. Verbits AI software uses advanced algorithms that leverage machine learning technology to make advanced transcriptions more accurate than traditional methods of transcription — ranging from audio recordings of legal proceedings or lectures to interviews featuring multiple voices or accents.
As it looks towards future success, Verbit’s mission is threefold: continue providing industry-leading solutions that leverage AI; accelerate the use of accurate transcriptions worldwide; continue placing groundbreaking technologies into the hands of customers eager for automated solutions that save them time while yielding unmatched accuracy results.
Reaches $2B Valuation
Verbit, a leading AI-enabled platform for automated transcription, captioning and translations services, has raised $250 million in a new round of funding. This is the company’s second largest financing round and is valued at $2 billion. The fundraising was led by Return Path founder David Rosenblatt along with existing investors Vertex Ventures US and Viola Ventures US. The round also saw participation from Pitango Growth and Cedar Fund.
The funding will enable Verbit to further expand its global footprint, focusing on scaling operations in Europe, expanding its range of services and increasing innovation across machine learning capabilities and technology platform developments.
With offices in Tel Aviv (Israel) and New York (U.S.), Verbit uses artificial intelligence technologies to enable companies of all sizes to convert their audio recordings into text quickly and accurately. Verbit’s user portfolio includes online education providers such as Western Governors University and high-profile companies like Zoom Video Communication, DocuSign and Ancestry.
Founded by Tom Livne (CEO) in 2016, the HIPAA compliant cloud transcription provider has processed over one billion minutes of audio content to date from customers around the world while largely remaining unaddressed during the ongoing pandemic aftermath due to its reliance on cloud-based services rather than physical assets or human intervention. Through this latest funding round, Verbit expects to reach 50% growth by 2021.
Impact of Funding
With the new round of funding, Verbit has reached a company valuation of $2 billion, making it one of the most valuable startups in the world. The cash infusion is expected to spur further growth for Verbit and help the company reach its mission of making legal analytics and e-discovery more accessible and efficient.
Let’s take a closer look at the impact of the raised funding.
Expansion of Product Offerings
The new infusion of $250 million in funding will enable Verbit to expand its product offerings in automated transcription and captioning services. In addition, this capital injection is anticipated to spur growth and innovation as the company accelerates its go-to-market strategy. Through leveraging machine learning technology to make content more accessible, Verbit is poised to become a leading provider in the transcription and captioning market.
Additionally, the additional funds are intended to allow Verbit access to previously inaccessible resources, such as hiring teams with even more robust capabilities, exploring strategic partnerships, and incorporating new technologies into their existing platform. Through this innovative approach, Verbit hopes to unlock hidden potential for customers, who can produce even better quality results in a fraction of the time.
Ultimately, Verbit is committed to continuing its mission of advancing automated transcription and captioning technologies through artificial intelligence-driven advances in accuracy and content delivery. The company’s success thus far has positioned them as an industry leader with the capabilities customers require for improved efficiency and results in content creation.
Hiring of New Talent
Raising $250 million in funding will help Verbit significantly expand the company’s team and reach. According to reports, this investment round is highlighted by Reach Path founder David Rosenblatt and brings Verbit’s total money raised to $2 billion.
This new funding has allowed Verbit to bring on some of the best talent globally. The company has also stated that increased resources have enabled them to support more customers, expand their capabilities and partnerships, and hire even more employees for their tech services.
The new hires will develop innovative technology solutions focusing on artificial intelligence, machine learning and speech recognition software. These new hires are helping Verbit quickly grow its customer base while pushing forward a culture of innovation and improvement with each project they take on. As a result, it is expected that the powerful business capabilities powered by expert engineering teams will help customers worldwide work smarter and faster to achieve success with their (respective) goals.
Increased Investment in R&D
Following Verbit’s successful raise of $250 million in new funding led by Return Path founder David Rosenblatt, the company is now well positioned to further invest in its research and development initiatives. This sizable investment will allow Verbit to allocate valuable resources towards the company’s mission to remain at the forefront of innovation in the AI-driven transcription and translation space.
The additional funding will also enable Verbit to develop new technologies that further its mission of providing accurate and fast automated transcription and translation services for companies worldwide.
Additionally, Verbit can use this influx of capital to expand their team and hire more staff members with expertise in artificial intelligence, machine learning, software engineering, and data analysis. These investments in research and development allow Verbit to remain competitive as a cutting edge player within the industry.
Ultimately, with increased resources, Verbit can foster groundbreaking developments in artificial intelligence technology and continue innovating existing products. As such, this landmark fundraiser will have a lasting impact on the trajectory of Verbit’s success for years.
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