Total amount raised
$269.3 Millions
Latest funding date
05/01/2022
Location
Firework has successfully raised $250 million in total funding, with notable investors including SoftBank Vision Fund and American Express Ventures. The company specializes in AI-powered video commerce solutions, offering innovative tools to enhance online shopping experiences.
Keep reading to explore the intricacies of Firework's fundraising journey and the investors backing this transformative platform.
What Is Firework?
Firework, founded in 2017 by Jerry Luk and Vincent Yang, is headquartered in San Mateo, California. The company specializes in AI-powered video commerce solutions, aiming to bring in-store experiences and human connections online.
Firework offers a range of video commerce solutions, including AI Video Assistant, Shoppable Video, Video Showroom, 1:1 Virtual Chat, and Long Video. These tools are designed to enhance online shopping experiences by integrating in-video shopping, lead generation, and live streaming events.
With a team of 251-500 employees, Firework continues to innovate in the video commerce space, providing consulting, software infrastructure, and content production services to brands worldwide.
How Much Funding Has Firework Raised?
- Series A
- Amount Raised: $11.3M
- Date: August 2018
- Lead Investors: IDG Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the company's video commerce solutions and enhance its technological capabilities.
- Series A
- Amount Raised: $19M
- Date: May 2019
- Lead Investors: IDG Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To further develop the platform and scale operations.
- Venture Round
- Amount Raised: $20.4M
- Date: January 2020
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the company's growth and market expansion.
- Venture Round
- Amount Raised: $13.5M
- Date: October 2020
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance the company's video commerce technology and expand its market presence.
- Series A
- Amount Raised: $55M
- Date: March 2021
- Lead Investors: GSR Ventures, IDG Capital, Lightspeed Venture Partners
- Valuation at Round: $230M
- Motivation Behind the Round: To accelerate growth and expand the company's capabilities in video commerce.
- Convertible Note
- Amount Raised: Not publicly disclosed
- Date: June 2021
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To secure additional capital for operational and technological advancements.
- Venture Round
- Amount Raised: Not publicly disclosed
- Date: November 2021
- Lead Investors: American Express Ventures
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To form strategic partnerships and further develop the platform.
- Series B
- Amount Raised: $150M
- Date: May 2022
- Lead Investors: SoftBank Vision Fund
- Valuation at Round: $750M
- Motivation Behind the Round: To increase headcount across engineering, product, and marketing, and to enhance the overall platform.
Total Amount Raised: $249.2M
Current Valuation: $750M
Key Investors
- SoftBank Vision Fund
- Details: SoftBank Vision Fund is a venture capital fund managed by SoftBank Group, a Japanese multinational conglomerate holding company.
- Investment Focus Areas: Technology, AI, robotics, telecommunications, internet services.
- Notable Investments: Uber, WeWork, Slack, DoorDash.
- American Express Ventures
- Details: American Express Ventures is the venture capital arm of American Express, focusing on strategic investments in innovative startups.
- Investment Focus Areas: Fintech, B2B services, consumer services, enterprise technology.
- Notable Investments: Stripe, Bill.com, Plaid.
- GSR Ventures
- Details: GSR Ventures is a venture capital firm focused on early-stage technology companies, particularly in the internet and mobile sectors.
- Investment Focus Areas: Internet, mobile, enterprise technology.
- Notable Investments: Didi Chuxing, Qunar, Ele.me.
- IDG Capital
- Details: IDG Capital is a global investment firm with a focus on technology investments, providing capital to innovative companies worldwide.
- Investment Focus Areas: Technology, media, telecommunications, healthcare.
- Notable Investments: Baidu, Tencent, Xiaomi.
- Lightspeed Venture Partners
- Details: Lightspeed Venture Partners is a venture capital firm that invests in the enterprise and consumer sectors, supporting companies from early stages to growth.
- Investment Focus Areas: Enterprise technology, consumer, health.
- Notable Investments: Snapchat, Nest, GrubHub.
What's Next for Firework?
Firework stands at the cusp of significant growth, driven by the increasing popularity of live-streamed shopping events and shoppable video technology. With a recent $150 million funding round led by SoftBank, the company is well-positioned to expand its customer base and enhance its platform capabilities. The live streaming commerce market, particularly in China and emerging markets like India, presents vast opportunities for Firework to capitalize on.
Future fundraising opportunities seem promising, given the substantial increase in the company's valuation and the involvement of major investors. As Firework continues to innovate and attract more significant investments, it may also explore strategic partnerships or acquisitions to bolster its market presence.
However, challenges such as competition from other live commerce companies, technological advancements, and maintaining customer satisfaction could pose hurdles. Navigating these challenges will be crucial for Firework as it aims to scale operations and sustain its growth trajectory.
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