Mirelo Raises $41M for AI Model Adding Soundtracks to Videos

Berlin-based startup Mirelo has developed an AI model, Mirelo SFX v1.5, which adds synchronized sound effects (SFX) to videos. The startup recently secured a $41 million seed funding round led by Index Ventures and Andreessen Horowitz. This investment will enable Mirelo to expand its team, enhance its R&D, and reinforce its market strategy. The startup, which already stands out with its focused approach, aims to compete with larger companies such as Sony and Tencent that have released video-to-SFX models.

Mirelo plans to double or triple its current team of 10 employees by next year. The company anticipates generating revenue primarily through API usage, but is also developing Mirelo Studio, a workspace for creators. Mirelo is addressing concerns about training data by basing its models on public and purchased sound libraries and entering revenue-sharing partnerships to respect artists' rights. With a freemium model targeting amateur and prosumer creators, Mirelo emphasizes the importance of sound in videos, with plans to incorporate AI music generation in the future.

The startup's valuation has significantly increased following the latest funding round, which was led by Berlin-based firm Atlantic. Mirelo has also gained support from notable industry figures, including Mistral CEO Arthur Mensch and Hugging Face chief science officer Thomas Wolf. Despite increasing competition in the AI-generated video space, Mirelo is confident in the value of adding sound to videos. The startup's success in addressing this crucial aspect of video creation underscores the significance of sound in the overall viewing experience.