TLDR
- British AI startup Synthesia raised $200 million at a $4 billion valuation, nearly doubling its $2.1 billion valuation from January 2025.
- The funding round was led by Google Ventures (GV), with participation from Nvidia’s NVentures, Accel, NEA, and others.
- Synthesia creates AI-powered video generation tools for enterprise training and communications, allowing interactive avatars to answer employee questions.
- The company has reached $150 million in annual recurring revenue and expects to surpass $200 million in 2026.
- Recent major customers include Microsoft, and Synthesia quadrupled contracts over $100,000 in the past 12 months.
Synthesia has secured $200 million in Series E funding at a $4 billion valuation. The London-based artificial intelligence company develops video generation tools for businesses.
Nvidia-backed Synthesia wants its talking AI avatars to train, coach and recruit https://t.co/sFkdNcoqC2
— Bloomberg (@business) January 26, 2026
Google Ventures led the funding round. Other investors included Nvidia’s venture capital arm NVentures, Accel, Kleiner Perkins, New Enterprise Associates, PSP Growth, and Air Street Capital. Hedosophia and Evantic also participated in the round.
The new valuation nearly doubles Synthesia’s previous $2.1 billion price tag. The company achieved that valuation in January 2025 when it raised $180 million.
Founded in 2017 by AI researchers from Stanford and Cambridge, Synthesia specializes in text-to-video generation. The company offers a free version with a 10-minute monthly video limit. It also sells monthly subscriptions and custom enterprise packages.
The startup plans to use the funding to develop interactive AI agents. These agents will appear as avatars in training videos. They can answer employee questions and allow users to practice scenarios through role-play.
Victor Riparbelli, Synthesia’s co-founder and CEO, said the funding supports scaling the company’s vision. He described AI video as a better way for organizations to communicate and learn.
Financial Performance and Growth
Chief Financial Officer Daniel Kim told CNBC that Synthesia has reached $150 million in annual recurring revenue. The company expects to pass $200 million sometime in 2026.
A company spokesman said Synthesia signed Microsoft as a customer in late 2025. The startup quadrupled contracts valued over $100,000 in the past 12 months.
The funding round includes an employee secondary share sale. Synthesia will facilitate this sale in partnership with NASDAQ at the $4 billion valuation.
Market Context
European AI startups raised a record $21.4 billion in private funding in 2025. This data comes from deal-counting platform Dealroom. U.S. AI companies raised $162.7 billion that year, though $70 billion came from just three companies: OpenAI, Anthropic, and xAI.
Government Support
UK Chancellor of the Exchequer Rachel Reeves called Synthesia a UK success story. She said the company creates new jobs and opportunities in the country. London Mayor Sadiq Khan and former Tech Minister Peter Kyle attended the company’s new office opening in July.
Synthesia currently employs workers across its London operations. The company serves enterprise clients who use its tools for internal training and external communications.
The company offers different service tiers based on user needs. Free users get limited access while enterprise customers receive custom packages with fewer restrictions on video creation and usage.
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