Blackrock-backed Minute Media acquires Indian AI startup that extracts sports highlights

Minute Media, a media startup backed by BlackRock and Goldman Sachs, has announced its acquisition of VideoVerse, an Indian AI company specializing in extracting sports highlights and generating content from footage. This strategic move, unveiled on Monday, positions Minute Media to enhance its offerings across its well-known platforms, such as Sports Illustrated and The Players’ Tribune. Founded in 2016 by Vinayak Shrivastav, VideoVerse has made a name for itself by providing innovative solutions to broadcasters, including prominent clients like the Indian Premier League and FIFA+. The startup has attracted significant investment, raising $105 million from backers including Bluestone Equity Partners and A91 Partners. Although financial specifics of the acquisition were not disclosed, insiders estimate VideoVerse's valuation ranged between $200 million and $250 million during its last funding round earlier this year. Asaf Peled, CEO of Minute Media, emphasized that this acquisition represents the largest in terms of both value and scale for the company. Minute Media has previously expanded through strategic mergers, acquiring entities like Fansided and Mental Floss. Under Shrivastav's leadership, VideoVerse initially developed various AI tools, including those for film certification, before pivoting towards video editing solutions specifically for sports. As the sports landscape evolved, VideoVerse adapted by focusing on creating tools that enable broadcasters to efficiently highlight key moments in games. The company's SaaS model charges clients based on the hours of footage processed. Currently, VideoVerse generates approximately $65 million in revenue, boasting a robust EBITDA margin of 35% to 40%. In recent months, VideoVerse has introduced new AI-driven capabilities, allowing clients to automatically generate content tailored to specific game scenarios, such as compiling all three-pointers made by a player during a basketball match. The platform also features AI translation tools to facilitate global audience engagement. Peled noted that the acquisition aims to leverage VideoVerse's technology along with Minute Media's extensive publisher network to enhance content distribution and ad revenue generation. With a monthly reach of over 200 million users across its properties, Minute Media is in a strong position to capitalize on the growing demand for innovative sports content, particularly among mobile users. Looking ahead, Minute Media plans to focus on expanding its reach within U.S.-based leagues to further promote the highlight-generating capabilities of VideoVerse. While not currently pursuing a funding round, the company may explore future investment opportunities to support continued growth and acquisitions.