AI Content Production Platform Raises $5.5M In Funding Round

Full story on Deadline.com

EXCLUSIVE from Deadline.com: L.A.-based AI content production company Arcana Labs has unveiled $5.5M in funding and announced the launch of AI production studio, Arcana AI.

The round was led by SEMCAP AI, the AI financing arm of Pennsylvania-based growth equity platform SEMCAP, and co-CIOs Walter Buckley and Cyrus Vandrevala.

Launched in 2023, Arcana Labs is headed by Millennium Media President Jonathan Yunger, as a co-founder and CEO, and gathers a team of engineers and Hollywood filmmakers.

Its Arcana AI platform, which enables artists to generate images and video clips, recently hit the headlines after its tools were used to create a video depicting the Gaza Strip as an upmarket beach resort, which was then shared by President Donald Trump on his Truth Social platform.

The Israeli creators condemned Trump’s use of the video without any context, saying they had created it in a satirical response to his suggestion that the U.S. should take control of the territory and turn it into the “Riviera of the Middle East,” while testing the Arcana AI tools.

Arcana Labs is positioning itself as a positive, disruptive force in Hollywood and the wider film business at a time of rising production costs, consolidation pressures, and creative talent bottlenecks.

Continue reading the full story here