Infinite Reality to Acquire Agentic AI Company Touchcast for $500M

In General XR News

TL;DR
What has happened? Infinite Reality has announced it is acquiring agentic AI company Touchcast for $500 million in cash and stock.
Why does it matter? It marks iR’s largest acquisition, significantly expanding its AI capabilities and accelerating platform-wide integration of agentic technologies.
What does Infinite Reality do? Infinite Reality provides tools and solutions that help brands and creators build immersive, AI-driven digital experiences.
What does Touchcast do? Touchcast builds agentic AI tools that enable enterprises to capture, share, and evolve knowledge through natural, human-like digital interactions.

April 17, 2025 – Infinite Reality (iR), a company focused on AI, spatial computing, XR, and immersive technologies, has announced this week that it has entered into a definitive agreement to acquire Touchcast, an agentic AI company, for USD $500 million in a combination of cash and stock. Infinite Reality stated that this latest acquisition is its largest yet, and the transaction agreement values the company at USD $15.5 billion.

According to iR, Touchcast’s agentic AI platform, known as ‘Mentorverse,’ generates specialized AI mentors who engage in natural, face-to-face video conversations and, unlike traditional chatbots or static web experiences, combine consistent personalities with deep domain expertise to deliver helpful guidance through natural, multimodal interactions.

Infinite Reality stated that the integration of Touchcast’s technology across its own portfolio of products and services will enable iR customers to tap AI agents for a number of tasks that drive user engagement, customer support, and sales.

For example, within Napster, which iR recently acquired, Touchcast’s technology could enable subscribers to generate immersive social listening spaces and leverage AI agents for music playlisting and trivia, community management, and other features. Furthermore, for iR Enterprise and iR Studio customers, the Touchcast toolkit could empower brands, SMEs, and creators with knowledgeable, trained, and on-brand AI agents that can perform sales and customer service functions, according to the company.

Touchcast, built on OpenAI and delivered on Microsoft Azure via a USD $50 million strategic partnership, provides a suite of AI delivery systems that are designed to improve response times for AI interaction. The company’s AI mentors interact like humans, not chatbots, and work together as a team of specialized agents to build on each other’s expertise, solve complex challenges, and deliver immediate ROI, according to Infinite Reality.

“Agentic AI is a big part of how consumers and businesses will interact with the web in the future,” said John Acunto, CEO and Founder of Infinite Reality. “The Touchcast technology has immediate applications across our entire business portfolio and will no doubt provide our customers with instant benefits—whether those customers are Napster subscribers and artists, global Fortune 500 brands, or small businesses.”

iR stated that Touchcast holds 27 patents related to AI and interactive video technology, including systems for coordinated presentations, video conferencing enhancements, and intelligent virtual assistant systems. 

“Joining forces with Infinite Reality represents the ideal next chapter for Touchcast,” said Edo Segal, CEO and Founder of Touchcast. “From day one, our mission has been to humanize AI— moving beyond chatbots to create intelligent, emotionally resonant experiences that feel intuitive and alive. iR not only shares that belief and has the platform to bring our technology to scale across industries and audiences, but together we can empower a new generation of creators and businesses to deliver expertise, storytelling, and service in ways that were unimaginable until now.”

Infinite Reality’s Co-Founder and Chief Business Officer, Amish Shah, added that the addition of Touchcast’s agentic AI technology will serve as a building block for iR’s platform as the company looks to provide its customers with more AI-powered tools.

For more information on Infinite Reality and its mission to accelerate the global adoption of immersive technologies across industries and use cases, please visit the company’s website.

Image credit: Infinite Reality

About the author

Sam is the Founder and Managing Editor of Auganix. With a background in research and report writing, he has been covering XR industry news for the past seven years.

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