Video generation and editing platform D-ID announced on Tuesday its acquisition of Berlin-based B2B video creation platform Simpleshow. Financial terms of the deal were not disclosed by either company. Simpleshow's operations will integrate under D-ID's umbrella, with plans for the two platforms to eventually merge, according to D-ID chief executive Gil Perry. This strategic move aims to accelerate D-ID's capture of a significant share of the enterprise avatar video market.
Simpleshow, established in 2008, has secured over $20 million in funding, as per Crunchbase data. The company initially operated as an agency producing videos for businesses before transitioning to a SaaS-based technology platform, launching a text-to-video tool in 2017, Simpleshow CEO Karsten Boehrs told TechCrunch. The acquisition brings more than 1,500 enterprise clients to D-ID, including notable names such as Adobe, Audi, Airbus, Microsoft, Bayer, HP, T-Mobile, McDonald’s, eBay, and Deutsche Bank. Perry indicated this client base is expected to boost D-ID’s bottom line and move it closer to profitability.
Perry stated that Simpleshow initially approached D-ID for a strategic partnership, leading to the identification of synergies between management teams and products. D-ID, which already offers a suite of AI-powered interactive avatars to its clients, seeks to enhance its position in the rapidly evolving digital avatar market. The company also plans to develop interactive training videos, allowing users to pause an avatar-presented video to ask questions or complete quizzes.
Following the merger, the combined entity will employ 140 individuals and consolidate offices in Berlin, Tel Aviv, and the United States. D-ID has raised $60 million in funding to date and confirmed securing additional capital to finance the Simpleshow acquisition, though the amount remains undisclosed. The market for enterprise digital avatars is increasingly competitive, with D-ID facing other firms such as Synthesia and Soul Machine, alongside offerings from technology giants like Google and consulting firms like McKinsey.
