Rembrand Secures $23M for AI-Powered Virtual Product Placement Technology

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On Fri, 3 Jan, 4:01 PM UTC

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Rembrand, an AI media company, raises $23 million in Series A funding to expand its AI-powered virtual product placement technology from social media to connected TV formats, revolutionizing advertising in video content.

Rembrand's Innovative AI-Powered Product Placement

Rembrand, a Silicon Valley-based startup specializing in AI-powered virtual product placement, has successfully raised $23 million in a Series A funding round 1. The investment, led by super{set} with participation from The Trade Desk, Naver D2SF, and existing investors including BOLD (L'Oréal's corporate venture capital arm) and Greycroft, brings Rembrand's total funding to $31 million since its founding in 2022 2.

Revolutionary Technology in Advertising

Rembrand's technology utilizes artificial intelligence to seamlessly integrate virtual objects into video content, creating natural-looking product placements. The AI analyzes video frames to identify optimal opportunities for product insertion, automating a process that has traditionally been labor-intensive and time-consuming 2. This innovative approach allows for post-production integration, enabling content creators to monetize their entire content library, including previously created videos 1.

Expansion Plans and Market Potential

With this new funding, Rembrand aims to expand its services beyond social media platforms like YouTube, LinkedIn, TikTok, and Instagram, venturing into the lucrative connected TV (CTV) market 1. The CTV advertising sector represents a significant opportunity, with a market value of $30 billion and U.S. adults averaging 2 hours and 15 minutes of daily CTV viewing 1.

Benefits for Advertisers and Content Creators

Rembrand's AI-powered product placement offers several advantages:

  1. Less intrusive advertising compared to traditional methods
  2. Rapid integration within hours, as opposed to weeks for traditional visual effects
  3. Customizable targeting for brands
  4. Increased product visibility and brand awareness

The company's case studies have shown impressive results, including a five times higher video completion rate, eight times more screen time, and 27% more brand awareness compared to standard video ads 1.

Business Model and Partnerships

Rembrand operates on a cost-per-impression model for marketers, while compensating creators based on impressions generated. The company is also introducing licensing options for brands to use their technology within existing creator partnerships 2. Rembrand has already collaborated with major brands under PepsiCo, L'Oréal, Amazon, and Lenovo 2.

Future Developments

As part of its growth strategy, Rembrand is launching an AI Studio to provide all creators access to its capabilities, further expanding engagement with its platform 2. The company plans to use the new funding to enhance its AI-powered technology and expand its team to meet the evolving needs of advertisers and content owners across the broader video marketplace 2.

Omar Tawakol, Rembrand's CEO and co-founder, expressed enthusiasm about the investment, stating, "This funding will enable us to accelerate our growth, expand our team, and continue to innovate our technology platform to meet the evolving needs of advertisers and content owners across the broader video marketplace." 2

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