Flawless, a British-American company that invested $100 million in developing SAG-AFTRA-endorsed AI dubbing technology, has sold its intellectual property in a transaction that casts doubt on its future operations. TBellScout, a startup owned by Dutch tech billionaire Steven Schuurman, has acquired Flawless' TrueSync dubbing technology and DeepEditor, an AI post-production tool. Schuurman, who previously founded the software company Elastic, confirmed the acquisition to Deadline but declined to provide further details. Flawless co-founder Scott Mann also did not comment on the sale.

The transaction follows Flawless Holdings Limited filing for administration earlier this month, a UK insolvency procedure similar to Chapter 11 bankruptcy in the United States. Unlike US proceedings where directors often retain control, insolvency specialist BTG took over operations and executed the sale of the technology. Sprk Capital, a UK-based tech lender holding fixed and floating charges over Flawless, appointed BTG as the administrator. The specific circumstances surrounding the IP sale remain unclear, though the move comes after Amit Kapur became co-CEO in March following his tenure as a board member since 2024.

While the technology has been sold, Mann and co-founder Nick Lynes retain control of Flawless AI Inc., the US entity responsible for cultivating relationships with Hollywood studios through a consent-based approach to artificial intelligence. The duo is reportedly exploring a new venture. Flawless originally raised its $100 million funding from wealthy individuals rather than venture capital firms. Its platform consisted of three main components: TrueSync, a visual dubbing tool named one of Time Magazine's Best Inventions; DeepEditor, which allows for dialogue and performance changes without costly reshoots by synchronizing actors' mouths to new lines; and the Artistic Rights Treasury rights management platform.

Flawless' technology has been utilized on hundreds of Hollywood productions, though many studios have declined to disclose their use of AI. The Swedish sci-fi hit Watch the Skies became the first theatrical full-length feature to use immersive AI dubbing, with Flawless partnering with XYZ Films for its US release. Other projects utilizing the tools include Michel Gondry's The Book of Solutions, the Judo thriller Tatami, the South Korean title Smugglers, Stéphan Castang's Vincent Must Die, and the Berlin Film Festival opener The Light.

Co-founder Scott Mann also works as a filmmaker, directing movies such as Fall, a 2022 thriller about two friends stranded on a 2,000-foot radio tower. Fall served as a case study for Flawless' technology, which was used to visually dub swearing out of the film to secure a PG-13 rating.

Sources: Deadline.