Amagi awards $ 100 million for creation and monetization of cloud-based video content – TechCrunch
Media technology company Amagi on Friday announced $ 100 million to further develop its cloud-based SaaS technology for broadcast and connected TVs.
Accel, Avataar Ventures and Norwest Venture Partners joined existing investor Premji Invest in the funding round, which included the buyout of stakes held by Emerald Media and Mayfield Fund. Nadathur Holdings continues as an existing investor. The latest round gives Amagi total funding raised to date of $ 150 million, Baskar Subramanian, Amagi’s co-founder and CEO, told TechCrunch.
Bangalore-based Amagi provides cloud streaming and targeted advertising software so customers can create content that can be created and monetized for distribution through TV and streaming platforms such as The Roku Channel. , Samsung TV Plus and Pluto TV. The company already supports more than 2,000 channels on its platform in more than 40 countries.
“Video is a complex technology to manage – there are large files and a lot of computing,” Subramanian said. “What Amagi does is empower a content owner with no technological knowledge to simplify this complex workflow and scalable infrastructure. We want to make it easier to connect and start targeting and monetizing advertising.
As a result, Amagi customers are seeing operating cost savings of up to 40% on average over traditional delivery models and their ad impressions are increased five to ten times.
The new funding comes at a time when the business is growing rapidly. For example, Amagi has grown 30 times in the United States alone in recent years, Subramanian said. Amagi has an audience of over 2 billion people and the United States is its largest market. The company also sees potential for growth in Latin America and Europe.
In addition, in the past year, revenue grew 136%, while year-over-year new customer growth was 44%, including NBCUniversal – Subramanian said the Olympics in Tokyo took place on the Amagi platform for NBC, USA Today and ABS-CBN.
As a shift occurs with the development of video content for connected TV experiences, which it says represents a $ 50 billion market, the company plans to use the new funding for sales expansion, R&D to invest in the company’s product pipeline and potential mergers and acquisitions opportunities. The company has yet to make any acquisitions, Subramanian added.
In addition to broadcast operations in New Delhi, Amagi also has an innovation center in Bangalore and offices in New York, Los Angeles and London.
“Consumer behavior and infrastructure needs have reached critical mass and new companies are bringing the next generation of media, and we’re a big part of that growth,” Subramanian said. “Sports will arrive faster, while news and live events will be one of the most important areas of growth.”
Shekhar Kirani, Partner at Accel, said Amagi is taking a unique approach to enterprise SaaS due to this $ 50 billion shift in video content, where he sees half of the spend shifting quickly to platforms for connected television.
Some of the legacy players like Viacom and NBCUniversal have created their own streaming platforms, where Netflix and Amazon are also in the lead, but few SaaS companies are making the transition, he said.
When Kirani met Subramanian five years ago, Amagi was already well funded, but Kirani was excited about the platform and wanted to help the business grow. He believes the business is on the rise as it saves users time and enables new content providers to act faster to deliver their content.
“Amagi is creating a new category and will grow rapidly,” added Kirani. “They are already growing and doubling every year with phenomenal SaaS metrics, as they help content providers connect to any audience.