[Funding alert] SaaS startup Amagi turns unicorn, raises $95M from Accel, Norwest, Avataar
Cloud-based SaaS technology companyhas raised $95 million in a funding round led by Accel with participation from existing investors Norwest Venture Partners and Avataar Ventures. This latest investment brings Amagi’s valuation to more than $1 billion, making it a unicorn and one of the highest-valued media tech companies worldwide.
The startup has also announced a 108 percent year-on-year growth in revenues.
Baskar Subramanian, CEO and Co-founder, Amagi said, “This is a crucial juncture for our business as we look to hit a hyper-growth trajectory by creating a winning combination of goals, processes, team structures, and more. Our investors have a known history of crafting the success stories of companies with the promise of potential. We look forward to leveraging their astute understanding of the B2B SaaS landscape to successfully navigate the market intricacies and position ourselves for sustained success in the coming years.”
This funding will enable the company to accelerate business expansion, both in terms of Amagi's international footprint, as well as its product portfolio in the current media and entertainment (M&E) market.
The unicorn also aims to increase sales and marketing five-fold across the globe. Amagi will also explore allied and adjunct opportunities in the cloud and video market to deliver greater impact across the value chain, evaluating the mergers and acquisitions (M&A) opportunities that can contribute to revenue growth or add technology capabilities to product lines.
As video streaming booms, with a market opportunity of nearly $50 billion for cloud-led solutions, Amagi stands out as a leading technology provider with a complete suite of solutions. The company offers creation, distribution, and monetisation of live, linear, and on-demand channels across cable, OTT, and CTV-led Free Ad-supported Streaming TV (FAST) platforms, worldwide.
Shekhar Kirani, Partner, Accel said, “As the most preferred media SaaS company in the world, Amagi is leading the booming M&E industry to greater heights of technological innovation and strategic growth. Amagi’s impressive momentum is a direct result of its cutting-edge products, superior customer experience and talented leadership. We are thrilled to help fuel the company’s long-term success.”
Amagi has seen 108 percent year-on-year revenue growth, driven by demand for Amagi’s best-in-breed products and free ad-supported Streaming TV (FAST) partnerships. It has also seen a 59 percent surge in customers onboarded in 2021.
“The streaming market is ripe for technologies and innovations that improve how content owners, video platforms and advertisers engage with customers — and capture customer loyalty,” said Dave Zilberman, General Partner, Norwest Venture Partners.
Its customers include large media conglomerates (NBCUniversal, Paramount, A+E Networks UK and more), Connected TV majors (Samsung TV Plus, Roku, VIZIO, LG Channels and more), content owners (Tastemade, USA Today, AccuWeather and more) and leading OTT/FAST players (Fubo, STIRR, Redbox, Rakuten TV and more) have continued to place their trust in Amagi.
“We believe Amagi is the leading media technology player, positioned to propel the market forward in the years to come," said Niren Shah, Managing Director and Head of India, Norwest Venture Partners.
“The media industry has been swept up in a content storm with consumers demanding high-quality, personalised content at faster-than-ever turnaround speeds,” said Nishant Rao, Founding Partner, Avataar Ventures.
Edited by Kanishk Singh