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Adobe acquires Bengaluru's AI startup Rephrase.ai

Jaya Vishwakarma
New Update
rephare.ai founders

San Jose-based technology company Adobe has acquired Rephrase.ai, a Bengaluru-based startup specializing in AI-driven video creation technology, for an undisclosed sum.

The acquisition marks Adobe's first foray into generative AI (GenAI) and its initial venture into the Indian startup ecosystem, according to an ET report. 

What is Rephrase.ai known for?

Founded by IIT alumni Ashray Malhotra, Nisheeth Lahoti, and Shivam Mangla, Rephrase.ai has made a name for itself in the GenAI space.


The startup, established in 2018, has excelled in creating text-to-video generator tools, attracting over 50,000 users. Prior to the acquisition, Rephrase.ai had raised a total of $13.9 million in funding, with its largest round being $10.6 million in September of the previous year.

Impact on Adobe's creative cloud

Adobe plans to integrate Rephrase.ai's technology stack and generative AI capabilities with its own video-editing platform, Creative Cloud.

The integration is expected to enhance Adobe's offerings, particularly in the realm of AI-powered video content tools. Additionally, The acquisition will also see the majority of Rephrase.ai’s team, including its founders, joining Adobe, thereby bolstering Adobe's expertise in this innovative field.

The future for Rephrase.ai and its team

The acquisition is not just a milestone for Adobe but also a significant development for Rephrase.ai. The startup's team, which currently stands at about 45 employees, will mostly be absorbed into Adobe.

The move also provides an extended reach and potential growth for Rephrase.ai's technology, which might have been challenging given its size as an independent entity.

Adobe's vision in Generative AI

Adobe has been actively working on multiple generative AI-based products within its Creative Cloud suite, including editing and workflow management tools. The acquisition of Rephrase.ai is in line with Adobe's strategy of accelerating growth through both organic and inorganic innovation. 

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