MOUNTAIN VIEW — Gfycat, the world’s largest platform for user-generated short-form video, has raised $10 million in seed series financing. The round was led by Alsop Louie Partners (lead investors in Twitch.tv and Niantic), with additional capital from Pear Ventures, You and Mr. Jones, Jeong Kim, Stanford StartX Fund, and several other investors and angels. The financing round allows Gfycat to continue to support user-created short-form content to over 75 million viewers monthly.
Avid video creators Dan McEleney, Jeff Harris and Richard Rabbat (formerly of Tango, Zynga and Google), saw a radical shift in consumer behavior in early 2013 as the rise of mobile communication led to a proliferation of short communication forms, from text messages to tweets and emojis. They incorporated Gfycat in 2015 to usher in a new era of short-form content, pushing the boundaries of visual quality and user interaction.
By skillfully employing video technology to deliver the short, silent, looping experience, Gfycat addresses the major deficiencies that plagued the original .gif format: its large size, which caused prohibitively slow load times, and its limited color palette. While still a garage project, Gfycat transformed the industry, and has since organically built the largest global community of producers. To date Gfycat has hosted 2.5 million unique content creators, who have created 25 million GFYCATs. These users range from avid gamers sharing their achievements to visual artists creating animated works. GFYCATs now reach over 75 million monthly active users, who view more than 1.5 billion GFYCATs a month.
“The rapid growth of Gfycat’s creator community is a testament to the power of our creation tools,” said CEO Rabbat. “Our users appreciate the speed and simplicity of our platform and we’ve drawn inspiration from our passionate user base to continue improving on the format.”