Hypernatural Raises Eyebrows and Millions with Its Humanlike AI Video Creators—Is This the Next Hollywood Disruptor?

So, Hypernatural just popped out of stealth mode, grabbed $9.5 million in seed funding, and casually told the world it’s building AI-generated video characters that can look and sound like you, your favorite YouTuber, or a spokesperson who never sleeps. Not your average pitch, huh?

As reported by Business Insider, the LA-based startup is led by some serious industry veterans—former Snapchat CTO Bobby Murphy and ex-YouTube Originals boss Dustin Sandoval. So yeah, they know a thing or two about video, virality, and making content stick. Their new baby, Hypernatural, wants to put full-blown human-like AI characters into the hands of brands, influencers, and marketers. The big idea? You won’t need a camera crew or even a human presenter anymore. Just type your script and boom—your AI avatar is ready for primetime.

Let’s not pretend this isn’t massive. They’re using proprietary generative video models to turn simple text into realistic videos with people who blink, emote, gesture—you name it. The goal is to give content creators “a face without a face,” especially for use in product pitches, online courses, and short-form ads. Wildly efficient? Absolutely. But also, kinda spooky. It hits different when the synthetic version of “you” is better lit and never needs a coffee break.

The Hypernatural team says their characters are “hyperreal”—meaning more expressive, natural-looking, and emotionally responsive than your standard robotic avatars. Think less mannequin, more Oscar hopeful. And they’re betting big that these AI actors are what brands are hungry for. Judging by the seed funding round, led by top-tier investors like First Round Capital and including ex-Google CEO Eric Schmidt, it seems the money agrees.

But here’s the thing nobody wants to say out loud: are we going to lose real human creators in the process? I mean, we’ve been talking about AI stealing jobs for years, but this feels like we’re cracking open the door to a reality where even actors and influencers can be replaced by their digital doppelgängers. According to MIT Technology Review, there are already growing concerns in the entertainment industry about where the ethical lines should be drawn.

And then there’s the deepfake elephant in the room. Hypernatural says its avatars are designed with ethical constraints and transparency in mind, but let’s be honest—we’ve seen how fast good intentions can spiral into chaos. Remember when Sora first dropped and the internet freaked out over its deepfake potential? This feels like that, but with better lighting and tighter lip-sync.

Still, not everything has to be doom and gloom. For small creators who don’t have Hollywood budgets or polished camera skills, this could be a game-changer. Imagine an indie fitness coach launching a full course using an AI avatar that actually mirrors her tone and expressions. Or a shy entrepreneur building an entire brand without ever stepping in front of a lens. That’s empowerment—if used right.

Even TikTok is feeling the pressure. As Bloomberg reported, the platform is already experimenting with similar tech to generate AI influencers who push brands 24/7 without needing to sleep, eat, or get paid. It’s getting real out here.

Hypernatural isn’t alone in this race either. They’re going head-to-head with players like Synthesia and Hour One, but they’re betting that their edge is emotion—making AI avatars that don’t just talk but feel. That’s a tall order, but if anyone’s gonna pull it off, it’s probably a team that’s been behind some of the biggest internet video platforms of the last decade.

One more thing—while everyone’s hyped about the tech, not enough people are talking about how this could totally reshape trust. The more realistic these avatars get, the more viewers will start asking: Who’s real and who’s synthetic? And in a world already teetering on misinformation overload, that’s a big deal.

As The Atlantic pointed out, synthetic influencers are already challenging what authenticity even means online. With Hypernatural jumping into the arena, we’re officially entering the uncanny valley with a suitcase and an apartment lease.