Verbit Acquires Captioning Tech Provider VITAC
Transcription AI developer Verbit announced the acquisition of captioning technology provider VITAC on Tuesday for an undisclosed sum. The purchase of the 35-year-old captioning firm will broaden Verbit’s range of clients to every broadcaster and a huge number of cable networks, among other industries.
Verbit is mainly known for providing transcription services built on a combination of AI and human effort for an incredibly high accuracy rate. Higher education and the legal profession have been Verbit’s most frequent customers, but bringing in VITAC will broaden the focus of its network to encompass VITAC’s many verticals. The Colorado-based VITAC handles a lot of the captioning required by the Americans with Disabilities Act (ADA) and the FCC. It captions hundreds of thousands of hours of programming each year on behalf of broadcast and cable clients, government agencies, and major businesses. The acquisition will lead to a platform of AI tools, and human transcription experts able to handle any kind of transcription as well as the ability to translate what is said into any desired language.
“We are thrilled to further strengthen our position as the market leader in the transcription and captioning industry in partnership with VITAC. This opportunity allows us to expand our offerings for the media vertical and provide advanced transcription capabilities to our current education, legal, and corporate customers,” Verbit CEO Tom Livne said in a statement. “The combined company will harness decades of transcription and captioning expertise to offer customers a best-in-class solution based on our proven technology. We will continue to invest in our platform, top talent, and domain expertise to evolve and develop our solutions to meet our customers’ dynamic needs.”
Though Verbit didn’t say how much the acquisition was for, the startup can likely afford the price tag without too much of a hassle after raising $60 million in November, 10 months after closing a $31 million round. The startup has brought in about $100 million in total investment, with a goal of $100 million in revenue over the next couple of years. Even before the acquisition, Verbit counted more than 170 employees and 30,000 transcribers. The company’s growth is only going to be enhanced by acquiring VITAC and its non-inconsiderable list of clients and technical tools.
“We’re delighted to join the Verbit family and bolster their leading position in the transcription industry globally,” VITAC CEO Chris Crowell said. “We’ve been incredibly impressed with Verbit’s rapid growth and technology advantages, and together we look forward to serving more of this dynamic industry with clients across all vertical segments.”