Design software platform Canva is expanding its AI capabilities by acquiring a generative AI content and research startup, stated Cameron Adama, co-founder and chief product officer of Canva. The startup, originating from the video game sector, has a team of 120 who will now join Canva. The startup’s technology enables the development and training of AI models for image creation in various fields, including fashion, advertising, and architecture.
Some unique features of the startup include collaboration tools, a private cloud, and a ‘Live Canvas. Here, users’ initial sketches and text morph into photorealistic images in real-time. The exact techniques used for training their models have not been disclosed. However, they use a mix of licensed, synthetic, and publicly available/open-source data. Canva plans to dedicate $200 million over the coming years to incentivize content creators to refine its AI models further.
In addition, the technology of the acquired startup will be integrated into Canva’s Magic Studio generative AI suite.
Canva’s strategic growth via AI startup acquisition
This will extend current capabilities and add new generative AI functions. As part of preparation for an expected IPO, Canva is also boosting its development activities. This is achieved through internal projects such as the launch of an advanced copywriting assistant device and strategic acquisitions like that of Kaleido in February 2021.
In January 2023, Canva launched a tool using AI technology and machine learning algorithms to streamline the design process. This tool suggests the best design options based on previous user choices. Canva’s consistent technical innovation suggests a robust foundation for its upcoming IPO. As 2023 progresses, the company’s moves indicate a strategic growth plan, fueling the buzz around its planned IPO.
This recent buyout signifies Canva’s eighth overall and second this year. This consolidates the firm’s ongoing commitment to enhancing its AI capabilities. However, the specific alterations this acquisition will bring to Canva are yet to be revealed.
