Verbit, an AI-powered transcription and captioning platform, announced last week its $60M Series C round led by Sapphire Ventures with participation from existing investors Vertex Ventures, Stripes, HV Ventures, and ClalTech, as well as new investor Vertex Growth.
The round comes within 10 months of Verbit's Series B investment of $31M, bringing the 3.5-year-old company's total capital raised to more than $100 million, with a revenue run-rate that has grown five-fold since 2019.
The company will use this latest investment round to further fuel its significant growth by continuing to innovate its data-driven product capabilities and by pursuing M&A opportunities. The company also plans to unlock new verticals, increase the number of languages it supports, boost hiring, and expand its international reach, helping customers throughout the world accelerate their digital transformation.
Verbit's transcription and captioning platform leverages a hybrid-model of artificial intelligence (AI) – specifically machine learning (ML) and natural language processing (NLP) – and a network of 22,000 human transcribers to achieve 99.9% accuracy and turnaround time ten-times faster than the industry standard. Its AI technology – which transcribes speakers regardless of accent, detects domain-specific terms, filters out background noises and echoes, and more – generates detailed, professional transcriptions and captioning. This acoustic, linguistic, and contextual data is then thoroughly checked by Verbit's professional, hand-picked human transcribers, who maintain quality assurance by editing and reviewing the material and incorporating customer-supplied notes, guidelines, and more.
The company has more than 400 enterprise-grade customers in the legal and higher-education industries, including several universities and national court reporting agencies.
"Like nearly every market segment, the education, legal, and media and entertainment industries have had to quickly move to a remote environment. As a result, the need for AI-driven, real-time and accurate transcription services has skyrocketed," says Jai Das, managing director and president at Sapphire Ventures and the newest member of Verbit's Board of Directors. "Verbit combines the speed and low cost of automatic speech recognition technology with the accuracy of human transcription to solve this massive problem for companies and organizations in these markets. We're excited to partner with CEO Tom Livne and his team as they expand to additional segments and deliver a leading platform for transcription-based applications."
Das has invested in more than 60 companies while at Sapphire Ventures, 13 of which have become publicly traded companies and 15 have been acquired. In the last year alone, Das served as a board member at JFrog and Sumo Logic – both Sapphire portfolio companies that went public on the NASDAQ.
"We couldn't be more excited about our partnership with Sapphire Ventures and Jai Das," said Tom Livne, CEO and founder of Verbit. "Their support is a tremendous vote of confidence in the current value and potential of our AI-powered transcription and captioning platform. It only strengthens our position as market leaders in the $30B transcription industry."
The COVID-19 pandemic has prompted a quick shift to online learning as well as remote depositions and work, which has dramatically increased the need for professional digital transcription solutions. This reality presented a unique opportunity for Verbit and others in the industry. This shift may only continue to boost growing expectations that every video will come equipped with captions and transcriptions – powered by advanced speech-to-text and voice technologies – to meet the disparate needs of industries and users.