VUZ, a startup identified for providing immersive video experiences from pink carpets and soccer stadiums, has raised $12 million because it doubles down on its presence in Saudi Arabia and the United Arab Emirates, in addition to accelerates enlargement into Africa, Asia, and the USA.
The pre-Sequence C funding spherical, led by the Worldwide Finance Company (IFC), additionally drew participation from Al Jazira Capital, CrossWork VC’s Success Fund, a number of present buyers, and several other high-profile Saudi household places of work, the corporate stated.
IFC’s funding is especially notable. The World Financial institution Group member, identified extra for investing in monetary infrastructure and logistics throughout rising markets, is making a uncommon guess on shopper tech and particularly, the so-called “immersive web.”
“They’re centered on rising markets and noticed us as an organization that’s specializing in scaling globally and likewise into these markets. Our work within the creators and the content material house bought them very excited and based mostly on our progress and progress, there’s a lot potential to construct upon that,” founder and CEO Khaled Zaatarah stated in an interview with TechCrunch.
VUZ, previously 360VUZ, isn’t simply competing regionally; it’s up in opposition to international giants like YouTube, TikTok, Twitch, and Instagram, platforms that already dominate with large person bases and powerful creator loyalty.
However VUZ believes it has a differentiated providing: immersive, 360-degree content material that places customers “contained in the expertise,” whether or not that’s the Grammys in L.A., a La Liga match in Spain, or a trend present in Dubai. Customers can devour content material by way of cell apps, the online, VR headsets like Apple Imaginative and prescient Professional and Oculus, in addition to sensible TVs.
The corporate, which raised a $20 million Sequence B in 2022, has signed unique immersive streaming offers with La Liga and the Skilled Fighters League (PFL), and is working with over 100 content material creators whose mixed viewers attain tops 100 million.
Streaming goes native, however nonetheless international
VUZ’s enlargement push comes at a time when international streaming progress is plateauing in mature markets. YouTube and TikTok dominate mobile-first video consumption within the U.S., whereas Netflix and Disney+ are combating churn and specializing in profitability.
Nevertheless, in rising markets like Egypt, Nigeria, Indonesia, and Kenya, person progress continues to be accelerating, significantly amongst youthful, mobile-savvy audiences with an urge for food for video and reside content material.
Zaatarah says VUZ is able to meet that demand. The platform has crossed 15 million customers globally, up from 10 million in 2022, and now logs practically 3 billion lifetime display screen views, up from 1 billion on the time (after we final lined the startup). Its person base spans the Center East, the U.S., Asia, and Africa.
To speed up its U.S. push, the corporate is shifting from natural progress to paid advertising, aiming to transform viewers of occasions just like the Oscars and music premieres into long-term customers. In the meantime, in Africa and Asia, VUZ is investing in native partnerships, significantly with telecom operators, to broaden its distribution. It has over 40 such partnerships globally.
VUZ’s monetization mannequin has advanced since its earlier days, when the platform supplied about 70% of its content material at no cost and generated income by way of adverts. Now, that ratio has shifted to 60% free and 40% premium content material, accessible through an annual subscription or bundled telecom gives.
The corporate says it has doubled income over the previous two years and posted an 80% improve in gross revenue final yr. Whereas it declined to share precise numbers, Zaatarah says the corporate reached EBITDA profitability in 2024.
That’s partly because of an Uber-like content material mannequin: as an alternative of deploying giant manufacturing crews, VUZ trains and equips freelance reporters and creators, typically with proprietary cameras, to shoot and add content material. Creators typically have the price of tools deducted from their future earnings.
As well as, the startup helps creators through its “VUZ Studio,” an inside staff that helps edit and package deal immersive content material shortly. In line with Zaatarah, this protects creators hours of enhancing time. It additionally gives creators reside commerce options, permitting influencers, particularly feminine creators, to promote magnificence merchandise or trend objects straight throughout reside streams.
To succeed, VUZ should persuade customers that immersive content material isn’t only a gimmick and persuade creators that monetizing on VUZ is healthier than TikTok or YouTube. Within the Center East and components of Africa, the place the creator financial system continues to be early and distribution companions matter, that could be achievable.
However within the U.S. and different developed markets, competitors is harder.
Nonetheless, Zaatarah believes VUZ, which is focusing on over 5 billion lifetime views by 2026, can carve a distinct segment by going the place others don’t.
“YouTube and Netflix are nice, however they’re not constructing for creators in Nairobi or Riyadh,” he stated. “We’re constructing a product, community, and monetization mannequin that’s hyper-local—with the infrastructure to scale globally.”
That scale is coming into focus: the corporate now has places of work in Saudi Arabia, the UAE, Egypt, Jordan, and the U.S. It’s actively constructing out groups in India and Indonesia. In Africa, VUZ is already reside in Egypt, Kenya, and Nigeria, and says it’ll launch in South Africa later this yr.
“VUZ’s tech edge and international attain align nicely with our mandate to help scalable platforms that empower creators,” stated Farid Fezoua, IFC World Director for Disruptive Applied sciences, Providers, and Funds.
