AI automation startup for social media Munch raises $7.2M in seed funding led by A* Capital

The surge in social media demand has put a strain on content professionals, who face a labor-intensive and creatively exhausting process of manually creating content. This makes it challenging to actively participate in popular conversations. Recent reports reveal that 90% of marketers using short-form content plan to increase or maintain their investment, as it offers the highest return on investment (ROI) among various media formats.

In response to these challenges, an AI startup has embarked on a mission to assist companies in streamlining their content marketing process through AI-powered automation.

Enter Munch, a Tel Aviv, Israel-based AI startup that uses Generative AI to extract the most engaging and trending clips from long-form videos, creating short videos ideal for social media sharing. By doing so, Munch aims to reduce the burden on content professionals by leveraging AI to streamline the resource-intensive process, extracting bite-sized clips from lengthy videos ready for social media sharing within minutes.

Today, Munch announced a successful $7.2 million seed funding round led by A* Capital, with participation from Liquid2, Cardumen Capital, and Remagine Ventures. The fresh capital injection will enable Munch to accelerate its growth, expand into new global markets, and enhance its offerings for enterprises.

In addition, the startup plans to use the funding to further develop its solution, aiding content professionals in effortlessly creating and enhancing short-form videos from existing long-form content to increase ROI.

Founded in 2021 by CEO Oren Kandel and Peter Naftaliev, Munch is at the forefront of automation platforms designed to help businesses maximize their ROI on social media content. Using AI, Munch transforms lengthy videos into engaging, bite-sized clips for social media, empowering content professionals to produce content aligned with the evolving media landscape.

In just two years, Munch has achieved over $2 million in annual recurring revenue (ARR) within eight months and boasts over three thousand paying subscribers globally. The company has secured contracts with major media giants, establishing itself as a primary short-form vendor.

Munch Founders: Oren Kandel and Peter Naftaliev

Munch’s AI-driven platform offers automatic editing, instant and precise subtitle generation, pre-scripted social media posts through advanced AI technology, and caters to a multilingual audience, supporting over 20 different languages. The content is optimized for various social media platforms, ensuring a global reach for businesses seeking to amplify their social media impact.

Oren Kandel, CEO, and Co-founder of Munch stated, “Businesses and brands who successfully employ social media content strategies are seeing higher returns on their investments and improving their bottom lines.” He expressed gratitude for the investors’ trust and highlighted the intent to use the funds to expand the team and market presence, solidifying Munch’s position as a leading AI platform for social media.

“With Munch, any business, small or large, with quality content can now reach more potential customers – a revolutionary approach when it comes to social media usage for marketing teams around the world. We are grateful for our investors’ trust and are eager to use the recent funds to expand our team and market presence, further entrenching Munch’s position as a leading AI platform for social media,” Kandel added.

Munch’s clip-generation engine analyzes video content against the latest social media trends and marketing insights to maximize viewership. The platform transforms single-purpose videos, such as podcasts, webinars, and livestreams, into a series of engaging clips with the potential to go viral. This innovative content production and distribution approach not only increases business ROI but also minimizes time-consuming editing tasks, allowing brands to focus on creative ideation and strategic planning while maintaining a consistent, effortless, data-driven presence on social media.

Gautam Gupta, General Partner at A* Capital, emphasized the commitment to supporting impactful companies, citing Munch as a prime example. He highlighted Munch’s innovative approach to content creation and its potential to help businesses globally go viral with the click of a button, expressing anticipation for Munch’s future achievements.