Synthesia, a U.K.-based startup specialising in AI video generation, has secured a significant investment from Adobe as part of an expanded partnership.
The undisclosed funding reflects Adobe’s commitment to advancing enterprise video creation through artificial intelligence, with the two companies sharing a vision for more efficient and accessible content creation in business communication.
Synthesia’s Growth and Enterprise Focus
Synthesia is transforming the way video is created by harnessing the power of AI-generated avatars. The startup has become a leading force in the creative tech space with a user base that includes more than 70% of Fortune 100 companies.
Its platform enables both individuals and businesses to easily craft custom avatars and streamline the video production process, eliminating the need for traditional film crews.
Adobe’s Focus on AI Technologies
Adobe is deepening its engagement with AI technologies through a new investment in Synthesia. Adobe’s past ventures in the AI space include a $20 billion acquisition bid for Figma and investments in startups like Captions and VidMob, signalling a clear focus on the future of AI-powered creativity.
Scaling with Caution
Synthesia’s impressive growth trajectory continues, with the company recently exceeding $100 million in annual recurring revenue, driven by strong customer expansion and solid unit economics. The company posted a £25.2 million pre-tax loss in 2023 despite these achievements.
CEO Riparbelli noted that while profitability isn’t the immediate goal, Synthesia’s careful financial strategy remains key to its long-term success.
Synthesia Solidifies While Battling Rising Competition
Synthesia’s valuation has reached $2.1 billion as of January 2025, positioning it as a prominent player in the AI media sector. However, it faces increasing competition from a variety of companies such as Colossyan, DeepBrain AI, and OpenAI’s Sora, a text-to-video model that produces realistic video from simple prompts.
Synthesia’s specialisation in enterprise avatar video creation provides it with a defensible niche, one that Adobe is clearly interested in supporting and integrating into its product lineup.
Adobe’s Investment Drives Tool Integration
Adobe’s backing of Synthesia has already led to significant product integration, enabling the creative giant’s users to access Synthesia’s AI features directly within software such as Premiere Pro and After Effects. Synthesia’s technology, now endorsed by Adobe, positions itself as a central player in AI content creation and communication.
Conclusion
Synthesia’s rapid growth, now strengthened by Adobe’s strategic support, signals a pivotal shift in AI-powered media creation.
Creative technology companies like Adobe increasingly align with AI-native startups, the distinction between human-driven and machine-generated content is rapidly disappearing. This partnership not only accelerates Synthesia’s rise but also highlights the emerging industry trend of integrating traditional creative expertise with cutting-edge AI innovation.