Mirage, a startup that has rebranded from Captions to become an AI lab, has raised $75 million in growth financing. This move comes as the company continues to diversify its product offerings and marketing suite, now focusing on industries like advertising and marketing.

Recent changes include training a model for pacing, framing, and attention dynamics specifically tailored for short videos, alongside switching to a freemium business model early this year. These actions aim not only to enhance user experience but also to better compete with other AI video-editing apps such as ByteDance’s CapCut and Meta’s Edits.

According to Misra, the co-founder of Mirage, the next set of models will focus on 'assembly intelligence', potentially revolutionising how businesses create and distribute videos. Other innovations include an audio model that preserves accents, addressing user needs across international borders.

The analytics firm Appfigures reports that Captions has seen significant usage, with over 3.2 million downloads in the past year and $28.4 million in in-app revenue. Currently, Mirage’s marketing suite is available on the web, while its editing capabilities are mobile-first focused. The company plans to merge these two platforms to better target small businesses.

Mirage aims to expand in high-growth Asian markets using this fresh capital, positioning itself as a leader in AI video generation pipelines for marketing. While there are many competitors building similar tools, Mirage’s strong product-market fit and advanced unit economics suggest it could indeed be ahead of the pack.