Video generation startup PixVerse raises $439 million, raises valuation to over $2 billion

A video production startup based in Singapore PixVerse Today it said it closed its Series C extension, with a total of $439 million raised in the round. The company told TechCrunch that with the new financing tranche, its valuation exceeds $2 billion. With these funds, the company aims to expand its global modular offerings and reach customers across geographies.

The company closed its Series C round in March, led by CDH Investments. Although it did not reveal the amount of funding, Bloomberg reported that it was in the range of $300 million. Investors in the extension round include Alibaba, Lollapalooza Capital, Ivy Capital, Grand Mount Capital, Eastern Bell Capital, Mirae Asset, BlueFocus and CloudAlpha, joining returning investors iGlobe Partners and LionX Ventures from OCBC, PixVerse said.

The company was founded by Wang Changhu and Jaden Xie in 2023. Changhu previously worked at ByteDance on computer vision, and Xie was an executive at investment firm Lighthouse Capital.

PixVerse offers multiple models, including the V-Series video model for consumer use and APIs, the C-Series video model for professional film and commercial workflows, and the R-Series of universal models for game development and world building. Which was released earlier this year.

Through its tool, users can create videos in up to 4K resolution with built-in audio. The startup said its consumer product has more than 150 million registered users and more than 15 million monthly active users. The company declined to say how many users are paying for it but is offering it At competitive price $4.80 per minute to convert image to video.

Xie believes that despite the huge opportunity for video production success, only a few companies are making headway in the market.

“OpenAI went out of business when Sora 2 shut down. Other companies like Meta and Tencent are unable to create high-quality video models. So there are only a few companies that can meet the quality standard,” he told TechCrunch.

He said there are equal opportunities in consumer and enterprise markets where users create videos for fun and also consume short video content made using AI, while enterprises use video creation for creative, educational and marketing use cases.

However, saying that the startup model produces “high-quality” output is not a unique description. Xie mentioned that her core strength is tagging.

“We believe the key difference is not in the data, but in how we classify it, because data is available everywhere,” Shih said. The co-founder worked at ByteDance, where he built the core visual understanding technology behind TikTok using artificial intelligence. Using this technology, TikTok was able to accurately classify data and build a powerful recommendation algorithm. This experience is useful when building a video generation platform.

The company has big ambitions this year. She wants to expand the reach of her organization around the world. The startup has already struck a deal with its investor Alibaba to roll out video creation features.

In terms of product launch, it plans to launch a new V-series video generation model, and release a new version of its global model this year. It has 150 employees across its offices in Singapore, Beijing and Shanghai. With the new funding, PixVerse aims to hire more researchers and people in its go-to-market function.

Despite its confidence in its models and products, the video market is witnessing increasing activity. There are players like ByteDance with its Seedance model, and former Tencent AI head Dr. Wei Liu’s Video Rebirth and Kling AI from Asia. In the West there are competitors such as: Mid-flight, Runway and Loma. Multiple companies, incl Yiken blade and Phi Phi Lee Startups, building global models.