Spines raises $64m to take AI-assisted publishing beyond the US
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The funding package includes $29m in equity and a $35m revenue-linked facility as the hybrid publisher plans to expand into the UK, Canada and Australia.
Spines has raised $64 million to expand its AI-assisted publishing service, combining a $29 million equity round with a $35 million growth-financing facility. Zeev Ventures led the Series A-1, which also included Aleph, NordStar, M-Fund, LionTree and investor Dan Senor. Twelve provided the facility. Fortune reported that the package is intended to support product development and expansion beyond the United States, including into the UK, Canada and Australia.
The two parts of the funding have different purposes: the equity round brings investment into the company, while Twelve’s facility is non-dilutive financing. Undiluted reported that Twelve provides capital for customer-acquisition spending, with repayment linked to revenue generated by that spending. The facility’s specific pricing, term and warrant arrangements have not been disclosed.
Spines says it has reached a $50 million annual revenue run rate, with revenue up 400 per cent year on year. The company also says more than 8,000 American authors have used its platform and that around 400 new writers join each month. Fortune reported that those authors had produced about 12,000 titles. The company’s growth figures have not been independently verified in the supplied coverage.
The service is aimed at authors who already have a manuscript. Its software can assist with tasks including editing, proofreading, book design, formatting, translation, audiobook production, distribution and marketing, while human professionals are available to provide additional support. Fortune describes Spines as a hybrid publisher, noting that authors pay for publishing services rather than simply using a free self-publishing tool. Captables reports that the company earns income through production fees, subscriptions and a share of royalties.
Spines says its books can reach more than 100 distribution channels and that its platform gives authors a way to track sales and royalties. The company’s distribution information describes support for print, ebook and audiobook formats, with authors able to manage aspects such as pricing and availability. Its current translation offer covers seven languages, with a stated plan to expand to 20 over the next six months. Fortune also raised questions about copyright in AI-generated cover artwork, an issue that may matter as automated tools become more deeply involved in book production.
The company’s founder, Yehuda Niv, said its aim was to use AI to support writers rather than generate their books. "We don't believe the future of publishing is AI writing books. We believe the future is AI giving authors superpowers," he said. That positioning sits alongside a business model in which authors pay for a package of publishing services; the extent of human involvement and the terms attached to particular services may therefore be relevant to writers assessing the platform.
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