
Key Takeaways
- Pixellot raised $35M in new funding, including $15M from PSG Equity and $20M in venture debt, following its $161M Series D in 2022
- The company is on pace to stream 1.5 million games across 14 sports this year through its network of more than 30,000 camera installations
- A new five-year expansion with PlayOn Sports introduces “AI as a Service” with a revenue-sharing model replacing traditional software licensing fees
- New product features include AI-generated commentary, yellow first-down lines for football, and coaching analytics tools developed with MaxPreps
- CEO Doron Gerstel, who joined a year ago with experience leading six companies including four NASDAQ-listed firms, is prioritizing content monetization for distribution partners
Fresh Capital Fuels Continued Expansion
Pixellot, the automated sports production company, has secured $35M in new funding to support its technology development and scale operations. The round includes $15M from existing investor PSG Equity and $20M structured as venture debt financing.
The investment follows Pixellot’s $161M Series D round led by PSG Equity in May 2022. With more than 30,000 camera installations worldwide, the company is on track to stream 1.5 million games across 14 sports this year.
CEO Doron Gerstel, speaking publicly for the first time since taking over leadership from Alon Werber a year ago, outlined the company’s focus on helping distribution partners monetize the content Pixellot captures. Gerstel brings significant technology leadership experience to the role, having served as CEO for six companies, including four publicly listed on the NASDAQ.
“We see ourselves as a technology company that, first and foremost, needs to help our business partner make money out of the content that we provide,” Gerstel said.
New PlayOn Deal Introduces Revenue-Sharing Model
Pixellot recently announced a five-year expansion of its longstanding agreement with PlayOn Sports, which operates high school media brands GoFan, MaxPreps, and the NFHS Network. The deal introduces what the company calls “AI as a Service” (AIaaS), an agentic AI technology designed to drive engagement through increased personalization.
The agreement also marks a structural shift in how Pixellot works with partners. Rather than a traditional software licensing fee, the expanded PlayOn deal features a revenue-sharing arrangement. Gerstel explained this reflects Pixellot’s role as a direct contributor to both the partner’s business operations and the end-user experience.
Partners can generate revenue through multiple channels, particularly subscriptions and advertising. Pixellot is developing an automated mid-roll advertising feature that identifies appropriate moments during game action to display sponsored messages.
Youth and High School Markets Drive Core Business
While Pixellot, recognized as SBJ’s Most Innovative Sports Tech Company in 2023, does serve some professional and college customers, the majority of its business operates at the sub-elite level. High schools, clubs, and youth sports facility operators represent the company’s primary customer base. NBC Sports Next-owned SportsEngine serves as another major distribution partner.
Gerstel described the AI-powered cameras as “very much a means to an end,” with capturing, producing, and sharing content as the company’s core business priority. For young athletes, the content serves multiple purposes including recruiting, social branding, NIL dealmaking, and preserving memories.
“If you’re not showing, you’re not doing. The whole essence here is we are very much trying to focus is capture a moment,” Gerstel said. “We are dealing with audience that is all about here and now.”
New Features Target Broadcast-Quality Experience
Pixellot has been actively developing new features designed to bring broadcast-quality production to automated coverage. Gerstel said the quality standard for automated coverage aims to closely mimic professional broadcasts like NFL Monday Night Football.
Recent and upcoming product releases include:
Yellow first-down lines for football games, a visual element long associated with professional broadcasts. A coaching analytics toolset called MaxPreps Advantage, developed in partnership with PlayOn. AI-generated commentary created in the voice of a friend or family member. Image-processing capabilities that generate viewpoints and details not visible from the stationary camera position. Auto-switching functionality that seamlessly transitions between multiple cameras, such as a fixed AI camera and a manually operated sideline camera used for replays. Time capsule features that organize and contextualize youth highlights to preserve sporting memories.
To support this expanding network, Pixellot has established a network operations center (NOC) at its Israeli headquarters. The NOC provides around-the-clock monitoring to manage and troubleshoot the company’s full installation base.
“The technology very much allows doing it in the quality that is expected and, at the same time, the price of streaming is being dropped significantly,” Gerstel added.
Strategic Implications for Youth Sports Broadcasting
Pixellot’s continued investment in AI-powered production tools reflects broader shifts in how youth and amateur sports content gets captured and distributed. The move toward revenue-sharing arrangements with partners like PlayOn suggests the company sees its role extending beyond hardware and software into the content monetization layer.
With 1.5 million games projected for capture this year and a feature roadmap focused on broadcast-quality enhancements, Pixellot is building infrastructure that could reshape expectations for production quality at the grassroots level. The emphasis on helping partners generate revenue through subscriptions and advertising positions the company as a stakeholder in the economics of youth sports media, not just a technology vendor.
For facility operators, leagues, and media platforms in the youth sports space, Pixellot’s evolution offers a window into how AI-powered production tools are maturing from novelty to necessity.
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