Kaltura Acquires AI Avatar Startup eSelf.ai to Power Next-Gen Video Experiences

NEW YORK, NY – November 10, 2025 – Kaltura, a leading video experience cloud provider, today announced the acquisition of eSelf.ai, an AI startup specializing in photorealistic, conversational avatars. The move signals a significant push by Kaltura to integrate advanced artificial intelligence into its platform, promising to deliver more engaging and personalized video experiences for businesses and users alike. However, the acquisition arrives as Kaltura navigates challenging financial conditions, raising questions about the company’s ability to fully capitalize on the innovative technology.

Boosting Engagement with Lifelike Avatars

eSelf.ai has developed technology capable of creating remarkably realistic, AI-powered avatars that can interact with users in real-time, understand context, and even respond to screen content. The company’s core innovation lies in its ability to seamlessly blend natural language processing, computer vision, and machine learning to deliver truly lifelike interactions. This technology will be integrated into Kaltura’s existing suite of video solutions, enhancing applications like virtual classrooms, live events, sales and marketing videos, and customer support portals.

“We believe that the future of video is interactive and personalized,” said a Kaltura spokesperson in a statement. “eSelf.ai’s technology will enable us to create video experiences that are not just consumed, but actively participated in. Imagine a virtual instructor that can answer student questions in real-time, or a sales representative that can guide customers through a product demo with a personalized touch. That’s the potential we see here.”

A Strategic Move in a Competitive Landscape

The acquisition comes at a time when the demand for interactive video experiences is rapidly growing. Businesses are increasingly looking for ways to differentiate themselves and engage customers in more meaningful ways, and video is proving to be a powerful tool for achieving this. While the market for virtual assistants and chatbots is crowded, eSelf.ai appears to occupy a unique niche with its focus on photorealism and advanced interaction capabilities.

“The ability to create truly lifelike avatars is a game-changer,” commented an industry analyst who wished to remain anonymous. “While many companies are experimenting with AI-powered virtual assistants, few have been able to achieve the level of realism that eSelf.ai has demonstrated. This technology could significantly enhance user engagement and create more immersive experiences.”

Underlying Financial Challenges

Despite the potential of the acquisition, Kaltura is facing headwinds. Recent financial reports indicate declining stock prices (-3.92% over the last week, -18.78% year-over-year) and pressure to demonstrate sustainable profitability. While Q3 2025 revenue beat analyst estimates, the company is still operating at a loss.

“The acquisition of eSelf.ai is a bold move, but it also comes with a significant financial commitment,” said another industry observer. “Kaltura needs to carefully integrate the technology and demonstrate a clear return on investment to appease investors.”

Financial data reveals a mixed picture. While Kaltura’s Q3 2025 results showed record adjusted EBITDA and improved cash flow, the company’s overall financial health is rated as “fair performance”. The relatively high beta coefficient (2.15) also suggests that the stock is more volatile than the market average.

Dr. Alan Bekker: The Driving Force Behind eSelf.ai

A key aspect of the acquisition is the expertise of eSelf.ai’s co-founder, Dr. Alan Bekker. A Forbes 30 under 30 honoree, Dr. Bekker previously co-founded Voca.ai, which was acquired by Snap Inc. in 2020. His experience in developing AI-powered conversational interfaces is expected to be invaluable as Kaltura integrates eSelf.ai’s technology.

“Dr. Bekker is a rising star in the field of AI,” said an individual familiar with the acquisition. “His ability to create realistic and engaging conversational agents is truly remarkable. He’s a major asset for Kaltura.”

Integration and Future Outlook

Kaltura plans to integrate eSelf.ai’s technology across its entire platform, enabling the creation of “Genies” – AI-powered assistants that can personalize video experiences for users. The company is initially focusing on applications in virtual classrooms, live events, and sales and marketing videos.

The success of the acquisition will depend on Kaltura’s ability to execute its integration strategy and demonstrate a clear return on investment. Investors will be closely watching the company’s financial performance in the coming quarters to see if it can capitalize on the potential of this innovative technology.

“This acquisition is a bet on the future of video,” concluded an industry analyst. “Kaltura is taking a risk, but the potential rewards are significant. If the company can successfully integrate eSelf.ai’s technology, it could become a leader in the next generation of video experiences.”