Bythen, an Indonesian AI startup focused on virtual creator development, has raised $5 million in seed funding which will enable it to augment its work in democratizing access to the virtual influencer space. Led by Japan’s Vector Inc. and Indonesia’s Skystar Capital, the funding will enable Bythen to expand its AI-powered platform that allows users to create and monetize customizable digital avatars.

What is Bythen?

According to DealStreetAsia, Bythen focuses on developing “Bytes,” virtual avatars designed to interact autonomously across platforms like YouTube, Twitch, and social media. These AI characters can perform tasks such as live streaming, video calls, and social media management without human intervention.

CEO Kevin Mintaraga leads Bythen with a team of experts formerly associated with Magnivate and Bridestory—companies acquired by WPP and Tokopedia, respectively. Mintaraga served as Tokopedia’s Chief Marketing Officer until September 2023, bringing extensive industry expertise to the startup.

The platform adopts a revenue-sharing model, ensuring creators benefit directly from the platform’s success. Upcoming initiatives include launching an original intellectual property (IP) collection and forging collaborations with global IP owners in Web3, gaming, and entertainment.

Key Investors and Strategic Partnerships

The funding round drew prominent investors like East Ventures, BEENEXT, OSK, and AppWorks. Angel investors include William Tanuwijaya, co-founder of Tokopedia, and Ryan Lee, co-founder of Pinkfong Company.

Ryo Umezawa, Vice President of Vector Inc., expressed enthusiasm about Bythen’s potential:
“Vector Inc. is proud to support a visionary team dedicated to empowering creators and driving innovation. We are committed to helping Bythen forge high-value partnerships and acquire premium content in Japan and beyond.”

AI Influencers Gain Traction

Qatar Airways recently launched Sama, the world’s first AI-powered digital human cabin crew member, on Instagram in collaboration with digital human technology company UneeQ.

Sama’s Instagram channel provides followers with perspectives on destinations and insights into cabin crew life, including behind-the-scenes content and layover experiences.

In September 2024, the German National Tourist Board unveiled Emma, an AI-generated avatar, as its “interactive brand ambassador” to promote tourism in Germany. The move was met with backlash by those who see AI influencers as a threat to human creators.

A recent Twicsy study on social media marketing highlighted a significant disparity in earnings and engagement between human and AI influencers: human influencers earned an average of $78,777 per post compared to $1,694 for their AI counterparts—46x more.