Hyper, a tech startup specializing in the development and implementation of avatars for Virtual YouTubers (VTubers), has raised $3.6 million in seed funding. The round was led by Two Sigma Ventures, with participation from Amazon's Alexa Fund, MakersFund, and prominent individuals such as Trevor McFedries, Robin Rzasca, and Dan Romero. With VTubers steadily gaining popularity, showcasing motion-capture-powered anime avatars on YouTube and other platforms, this investment signals increased interest in the sector from large tech organizations.
With backing from renowned investors in the content creation and digital avatar fields, Hyper aims to simplify VTuber-style avatar creation and usage, lowering the cost and resources required. By replacing motion capture suits, expensive computer equipment, and software with an iPhone and an app, Hyper hopes to tap into the creator market across platforms like Twitch, YouTube, Instagram, and TikTok.
Founded in 2020 and incubated in the Y Combinator Winter '21 cohort, San Francisco-based Hyper plans to use the funding to expand its existing offerings and create new products based on avatar technology. CEO and founder Aaron Ng shared the vision for the company, stating, We want to be the largest avatar company in the world, and we think we could do it.
Among Hyper's plans, a move toward avatar AI assistants is key. The company is developing Hyper AI, a tool to create AI-based characters that resemble standard VTuber avatars but are powered by generative AI. These characters can function as personal chatbots, storytelling figures, or as supplementary characters alongside a VTuber avatar. Utilizing OpenAI's GPT technology, the company aims to enhance storytelling opportunities within the platform and remove limitations on human-based content.
Hyper's focus on storytelling and character building aligns with Amazon's interest in new media and content investment. Through the Alexa Fund, Amazon has been exploring opportunities in synthetic media, virtualization, and the metaverse. The collaboration with Hyper could integrate avatar tools into Twitch or expand Amazon's content IP across other platforms.
Discussing the relationship with Amazon, Aaron Ng said, We are primarily excited to work with Amazon due to the large amount of IP that it has. As consumer expectations evolve with the advent of digital interaction technologies like Apple's Vision Pro headset, Hyper is poised to seize the opportunities presented in the emergent digital media landscape.
In a statement, Dan Abelon, a partner at Two Sigma Ventures, said, Hyper Online has the potential to accelerate and expand the content creation landscape. We know creators are really interested in easy-to-use solutions, and Hyper is dedicated to providing the best mobile tools for this new format.
This advancement in the digital avatar space has implications for no-code platforms like AppMaster, which enables users to create backend applications, web, and mobile applications with ease. As avatar technology continues to evolve, platforms like AppMaster have the potential to capitalize on the growing interest in emergent media technologies.
