In a strategic move to bolster its generative artificial intelligence (AI) capabilities, global digital media solutions leader Adobe Systems has acquired Rephrase.ai, a Bengaluru-based startup. Established in 2019 by Indian Institute of Technology (IIT) alumni—Ashray Malhotra, Nisheeth Lahoti, and Shivam Mangla—Rephrase.ai specializes in artificial intelligence and provides an innovative text-to-video generation service. The startup has successfully secured $13.9 million in funding to date.
Rephrase.ai’s primary offering is a platform tailored for the creation of high-quality video clips, catering specifically to influencers and video content creators. The acquisition represents a significant milestone for Adobe as it expands its global presence and enters the generative AI and video-tooling industries, showcasing a commitment to staying at the forefront of technological innovation.
Shivam Mangla, co-founder of Rephrase.ai, expressed his excitement for the collaboration on X (formerly Twitter), emphasizing the limitless possibilities that lie ahead in the realm of Generative AI. He stated, “As we begin this new chapter in a larger org, the possibilities are endless. Excited to see what our teams will create next in the world of GenAI. The future is creative and bright.”
This acquisition is in line with current industry trends, where major corporations actively seek AI-powered tools and services to enhance and streamline daily work processes. Adobe’s integration of Rephrase.ai’s technology stack and generative AI video capabilities into its flagship video-editing platform, Creative Cloud, is expected to bring transformative change to the digital content creation landscape.
In recent months, Adobe has demonstrated its commitment to generative AI through various product updates. It introduced Firefly, an AI engine for image generation, integrated across Creative Cloud products like Photoshop, enabling users to manipulate images by describing changes in words. At its annual Max conference last month, the company showcased experimental generative AI-powered video features, such as upscaling videos, changing textures and objects with text prompts, and compositing subjects and scenes from separate videos.
Notably, this marks Adobe’s first acquisition of an Indian startup, as the software giant has historically focused on acquisitions in Europe and the United States. The acquisition will see the majority of Rephrase.ai’s employees joining Adobe, providing an exit for investors, including Lightspeed India, Silver Lake, and Red Ventures.
Featured image credits: Image by rawpixel.com on Freepik
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