JWX Acquires AI Video Startup Aug X Labs, Folding Augie Studio Into Its Enterprise Media Stack

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Aug X Labs, the creator of AI-powered video app Augie Studio, has been acquired by video technology firm JWX. Financial terms were not disclosed, but the deal includes the full retention of Aug X Labs’ team, with co-founders Jeremy Toeman and JT White moving into executive roles once the deal closes. In addition, because JWX is focused on the enterprise, Augie’s consumer product will be shuttering, though when exactly remains unclear.

“Publishers are under increasing pressure to extend the value of their content across more platforms while driving sustainable revenue,” John Nardone, JWX’s chief executive, writes in a statement. “Augie strengthens our publisher platform by enabling media companies to transform existing content into multi-format experiences optimized for modern distribution, engagement, and monetization.”

Founded in 2022, Aug X Labs uses artificial intelligence to help marketers, publishers, and creators turn content into videos. “The moment the conversations begin, marketers ‘get it’,” Toeman told “The AI Economy”in 2023. “It’s like all of a sudden having a Phillips head screwdriver when you only had a flathead before. You never actually knew all the things you could do.”

Its platform was the video equivalent of Descript, helping create videos for any format or platform, including Instagram Reels, TikTok, YouTube Shorts, LinkedIn, Twitter/X, and Facebook. After ingesting a script, either manually entered or imported, Augie’s AI—powered by OpenAI’s GPT 3.5, DALL-E2, MidJourney, and Stable Diffusion—will automatically generate short video clips for each frame. Users then had incredible editing tools at their disposal, allowing them to insert brand-safe, approved content, modify the script, and more.

A partnership with ElevenLabs in 2023 allowed users to record someone’s voice and clone it for use in their videos.

In 2024, the company released Highlighter, a tool to extract viral-worthy soundbites from long-form videos. It’s a valuable service for brands that may have assets such as podcasts, keynote speeches, presentations, demos, and interviews, and want to create more bite-sized content to share on social media.

For brand marketers, Augie offered an intuitive video-generation platform with a low learning curve. It was sufficient to get the job done, and users didn’t feel overwhelmed trying to figure out professional video editing software like Adobe Premiere.

To date, Aug X Labs has raised $4.1 million in venture funding from Flying Fish Partners, Dropbox Ventures, Hyde Park Venture Partners, Unlock Venture Partners, and Crosscut Ventures.

Its new owner, JWX, is a tech firm specializing in video delivery, streaming, advertising, and monetization for media businesses. Its mission is to help broadcasters, publishers, and advertisers create, distribute, and monetize content across all platforms and formats. Augie Studio will be incorporated into the organization’s JWX Studio, adding an AI-powered content layer that will enable its customers to extend the value of their content.

“Augie was built to help publishers move faster and unlock more value from their content, and joining forces with JWX accelerates that mission in a meaningful way,” Toeman remarks.

Disclosure: Jeremy Toeman and I used to work together at Stage Two.

Featured Image: AI-generated image of money. Credit: Adobe Firefly