Investment & Fund Management

Inkitt, a pioneering reader-powered book publisher based in Germany, faced significant challenges in providing equal opportunities for both debut and established authors in the competitive publishing industry. The traditional publishing model often favored established authors, leaving many talented newcomers without a chance to succeed. To address this issue, Inkitt developed a unique platform that leverages a proprietary algorithm to analyze reader behavior and predict potential bestsellers. This data-driven approach allows the company to make objective publishing decisions rather than relying solely on subjective opinions.

In late 2016, Inkitt received an equity investment from Frontline Ventures, a venture capital firm supported by the European Investment Fund (EIF) under the Investment Plan for Europe. This funding was crucial for Inkitt, enabling the company to expand its team and enhance its product offerings. Over the course of two years, Inkitt's workforce grew from a small group to 25 employees, attracting talent from around the globe despite being based in Berlin.

The results of Inkitt's innovative approach have been impressive. In 2017, 46 out of the 50 books published by Inkitt made it to the top-100 list on Amazon in the US, showcasing the effectiveness of their algorithm in identifying successful titles. The company aims to transform the publishing landscape, aspiring to have a majority of debut authors featured on bestseller lists in the future, thereby fulfilling its mission to provide fair opportunities for all writers.