Kdan Mobile, a Taiwanese firm involved in cloud-based software for content creators, has secured US$5 million in Series A funding from a group of investors.
According to TechCrunch, W.I. Harper Group, Darwin Venture Management and Accord Ventures are among the major participants in the financing, which will help the Taiwan company step up product development efforts.
Founded in 2009, Kdan Mobile’s products include Creativity 365, a software suite with a mobile animation creator and video editor; and Document 365, a document solution for enterprise users.
The company’s products have been touted as an alternative to Adobe products and Evernote. Kdan in 2017 began offering new subscription plans for the Creativity 365 services to businesses and educational organizations.
Its products have been downloaded over 120 million times, with about 40 percent of the customers located in the United States. Kdan Cloud, its cloud platform, now has over 3.5 million members, the company claims.
“We are trying to fill the gap, helping users create content on mobile and then allowing them to finish it in a desktop environment, not only with our own tools, but also by exporting to other places including Adobe,” CEO Kenny Su told TechCrunch.
The executive said that one of the main differences between Kdan’s products and other cloud-based software by Google, Microsoft, Adobe, etc. is Kdan’s focus on artists, designers and other creative professionals.
In addition, Kdan’s products are created specifically for mobile devices, allowing users to start projects on mobile devices before moving onto desktop apps, which is a useful function not commonly found in software by major competitors.
In an interview with the Hong Kong Economic Journal, Su mentioned the time when he had to cut the workforce by half in 2014.
“It was a painful decision to make, but we didn’t have much money left. We could not survive in the long term unless we cut the staff costs and move to the licensing model.”
According to a company announcement, the new funds will help the company take initiatives that will expand its reach in the American and Chinese markets, and for development of new tools for enterprises and educational institutions.
In the announcement, Su claimed that the company has been profitable and that the fresh capital will mainly be used for seizing opportunities related to artificial intelligence and blockchain technology.
In addition, the financial support will enable the company to further develop real-time collaboration and encrypted document solutions, which can fully support educational and enterprise needs.
Su said Kdan will continue promoting its software services by focusing heavily on the US and Chinese markets, targeting in particular enterprises.
The company has been cooperating with entities such as Taiwanese mobile services provider GMobi, Jot Stylus maker Adonit, and LKKER, a design sharing platform in mainland China.
Su told HKEJ that Kdan will consider adjusting the pricing scheme for products entering the China market, say switching from the set monthly fee to an annual fee, as he believes that would help attract and retain more value-oriented customers in China.
Su also laid out plans to seek new partners which will allow the firm to build a bigger presence in markets like Japan.
TechCrunch notes that Accord Ventures, one of the Series A investors, is based in Tokyo, and that Kdan Mobile may start marketing to the Japanese animation industry.
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