This AI startup helps Big Tech firms compress videos while maintaining quality. Check out the 50-slide pitch deck Deep Render used to raise $9 million.


Deep Render founders, Christian Besenbruch and Arsalan Zafar

  • Video compression startup Deep Render just raised $9 million in fresh funds.
  • The London-based company uses AI to reduce video size while maintaining video quality.
  • Check out the 50-slide deck it used to raise the capital from IP Group, Pentech Ventures, and the EIC.

A startup that uses AI to compress large videos for enterprises more efficiently has raised $9 million in fresh funds.

London-based Deep Render, founded in 2017, wants to “save the modern internet”, according to cofounder and CEO Chri Besenbruch. The company claims it can compress videos up to five times smaller than the market average while also preserving video quality.

The process of streaming videos is expensive for companies like Netflix and Zoom, and also boasts a large environmental cost, Besenbruch said. The startup also wants to improve the video streaming experience for the end user as companies tussle with increasing data traffic and limited bandwidth.

Deep Render uses AI to imitate neural processes, which shrinks the video file size. The aim is to cut the content delivery costs for video companies while giving users smoother access to videos, be it on services ranging from Amazon Prime to Twitch. 

“This technology was in the works for a lot of years; we started in 2018 — and by Q3 of 2022, we had a product that worked,” Besenbruch told Insider.

The startup makes its money through two avenues: its short-term business model is to work with Big Tech firms that have a lot of data users, and it is also selling its data encoding and decoding software through annual licenses.

“Compression works by encoding and decoding the compressed file,” Besenbruch said. “We’re selling the encoding via an enterprise license, giving companies an annual license for our software. With decoding, it’s an end-user license, and we get a royalty for each user.” 

When the cofounder duo began fundraising in 2022, they found it “surprisingly hard.” Although investors have piled into AI startups since the advent of Chat-GPT, Besenbruch said that the funding environment wasn’t as receptive because many venture capitalists did not understand the deep tech aspect of their mission. 

The $6.3 million Series A was led by London-based intellectual property firm IP Group and early-stage software investment firm Pentech Ventures, which has previously backed Monolith and mobile developers Outplay. The European Innovation Council also provided a $2.7 million grant, which takes the total funding in this round to $9 million. To date, the startup has secured around $15 million. 

With the cash injection, Deep Render will focus on growing its headcount from 25 to 60 and increasing the startup’s presence in the US.

Check out the 50-slide deck used to secure the fresh funds.



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