Capsule Raises $12 Million in Series A

Capsule Raises $12 Million in Series A

Capsule, a New York, NY-based AI-powered video editing software company, has raised $12 million in Series A funding.

The round was led by Innovation Endeavors, with participation from HubSpot Ventures and notable angel investors, including leaders from Frame.io, Ramp, Instacart, Sprout Social, and more, bringing Capsule’s total raised to $19.75 million.

Innovation Endeavors is an early-stage venture capital firm with offices in Silicon Valley, Tel Aviv, and New York. Founded in 2010, the firm backs transformative tech startups focused on solving complex global challenges.

The company will use the funds to enhance its product with more AI-powered collaboration and workflow tools and expand its team across sales, marketing, product, and engineering.

Founded in 2020 by Champ Bennett, Capsule is an AI-powered video editing platform designed to help content and marketing teams create professional, on-brand videos quickly and efficiently. It leverages artificial intelligence and customizable motion design systems to streamline video production from audio enhancement and automatic captions to AI-generated B-rolls and real-time collaboration. The company serves notable clients such as HubSpot, Instacart, and ServiceNow.

Funding Details

Company: Capsule.Video Inc.

Raised: $12.0M

Round: Series A

Funding Date: April 2025

Lead Investor: Innovation Endeavors

Additional Investors: HubSpot Ventures, Emery Wells, François Dufour, Karim Atiyeh, Gil Lara, Robert Paige, Laura Jones, Swift.vc, Human Ventures, Bloomberg Beta

Company Website: https://capsule.video/

Software Category: AI Video Editing