D-ID Acquires Simpleshow for Boost in Enterprise Avatar Video Market, Merging Platforms and Adding 1,500+ Clients Including Adobe, Microsoft, and Deutsche Bank

Digital video generation and editing platform D-ID announced on Tuesday its acquisition of B2B video creation platform Simpleshow, a move set to bolster D-ID’s market presence significantly. Financial details of the deal were not disclosed.

Simpleshow’s operations will be absorbed under D-ID, with the intention of merging the two platforms in due course. According to Gil Perry, CEO of D-ID, this merger will enable faster capture of a substantial portion of the enterprise avatar video market.

Founded in 2008, Simpleshow has raised over $20 million in funding, according to Crunchbase data. The startup operates out of Berlin, Luxembourg, London, Miami, Singapore, Hong Kong, and Tokyo. Post-merger, Simpleshow’s offices will consolidate in Berlin, Tel Aviv, and the United States, with a combined workforce of 140 employees.

Perry expressed that the strategic partnership between the two companies was born out of mutual synergy between management teams and products. He believes that acquiring Simpleshow would provide D-ID with the necessary momentum in capturing a larger market share.

Both companies are bullish on the future of digital avatars for diverse video applications, including training, marketing, and sales. D-ID currently offers AI-powered interactive avatars to its clients, and Simpleshow brings over 1,500 enterprise clients to the table, such as Adobe, Audio, Airbus, Microsoft, Bayer, HP, T-Mobile, McDonald’s, eBay, and Deutsche Bank.

Simpleshow’s CEO, Karsten Boehrs, joined the company over a decade ago and spearheaded its transformation from a video production agency to a SaaS tech platform. In 2017, Simpleshow launched a text-to-video tool for clients, which was one of the first tools they developed.

Boehrs revealed that in recent years, with the rise of AI, conversations with potential partners such as Sythesia ensued, eventually leading to D-ID as the chosen acquisition target.

In the future, D-ID intends to develop interactive training videos, where users can interrupt a video presented by an avatar and interact with them through questions or quizzes. The company faces competition from enterprises adopting digital avatars like Sythesia and Soul Machine, as well as solutions developed by tech giants such as Google and McKinsey.

To date, D-ID has secured $60 million in funding for its operations, including the funds required to finance this acquisition. However, specific details regarding the financial aspects of the transaction remain undisclosed.