Tech Giant Adobe Acquires Rephrase.ai By CIOTechOutlook Team

Tech Giant Adobe Acquires Rephrase.ai

CIOTechOutlook Team | Wednesday, 22 November 2023, 11:32 IST

As per the internal document published by Adobe, the company has purchased Bengaluru-based Re.ai, which operates an artificial intelligence (AI)-powered video production platform.

With the acquisition, Adobe will look to integrate Rephrase’s tech stack and generative AI video capabilities with its in-house video-editing platform, Creative Cloud, and bolster its offerings. The Bengaluru-based firm offers a text-to-video production platform that simplifies the process and allows users to generate professional-looking films, as per economic times.

The deal is likely to help Adobe expedite its capacity to supply clients with AI-powered video content tools. As part of the agreement, the bulk of Re's team members will join Adobe while remaining anonymous. We were unable to determine the ultimate transaction size.

This is also Adobe's first transaction in the generative AI and video-tooling field. It also makes Re the first Indian startup to be purchased by Adobe, which has mostly done so in its home market, the United States, and Europe.

“The Rephrase.ai team’s expertise in generative AI video and audio technology and experience-building text-to-video generator tools will extend our generative video capabilities — and enable us to deliver more value to our customers faster — all within our industry-leading creative applications,” Ashley Still, senior vice president and general manager, Creative Cloud, wrote in an internal memo to employees on Tuesday. ETtech has seen the copy of the memo sent to its India staff.

Re's investors will likely be offered a total cash exit, with the founders being rewarded in cash and Adobe shares.