Adobe Invests in Synthesia: Boosting AI Video Avatar Innovation After Figma Deal Collapse
April 15, 2025
This investment comes after Adobe's recent challenges, including the collapse of a $20 billion acquisition deal for Figma, prompting the company to explore new growth avenues.
In January 2025, Synthesia raised $180 million in a Series D funding round, doubling its valuation to $2.1 billion and bringing its total capital raised to over $330 million.
Adobe has made a strategic investment in Synthesia, a UK-based startup specializing in AI-generated video avatars, following the company's impressive achievement of over $100 million in annual recurring revenue.
The company's growth is attributed to increased usage from existing clients, an expanded customer base, and enhancements to their platform with new AI-powered features.
Recently, Synthesia partnered with Shutterstock to enhance its AI models with a broader library of video footage, aiming to improve the realism of its avatars.
Adobe plans to leverage Synthesia's technology to enhance user experience and expand its offerings in the rapidly growing field of AI-driven content creation.
Synthesia's platform is now utilized by over 70% of Fortune 100 companies, showcasing its widespread adoption for corporate training, communications, and marketing.
Despite generating significant revenue, Synthesia reported a pre-tax loss of £25.2 million on revenues of £25.7 million in 2023, indicating that profitability is not currently prioritized.
Founded in 2017, Synthesia allows users to create videos from text prompts using AI-generated avatars and voices, simplifying the video creation process.
CEO Victor Riparbelli emphasized that this partnership validates Synthesia's vision of democratizing content creation and improving enterprise communication efficiency.
Synthesia has become a significant player in the UK's AI industry, specializing in AI-powered corporate videos.
The investment from Adobe Ventures, which joins other notable investors like NEA and Atlassian Ventures, highlights a growing interest in enterprise AI video tools.
Summary based on 6 sources
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Sources

PetaPixel • Apr 15, 2025
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DPReview • Apr 15, 2025
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MarketScreener • Apr 15, 2025
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Tech.eu • Apr 15, 2025
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