Lemon Slice Nabs $10.5M From YC And Matrix To Build Out Its Digital Avatar Tech

Lemon Slice raises $10.5M to bring lifelike, interactive digital avatars to AI agents using a new 20B-parameter video model.
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Lemon Slice Nabs $10.5M From YC And Matrix To Build Out Its Digital Avatar Tech
Lemon Slice Avatar Tech Lands $10.5M to Humanize AI Interactions What if your customer support chatbot could look you in the eye—or your study helper could smile as it explains calculus? Lemon Slice, a stealthy startup founded in 2024, just raised $10.5 million from Y Combinator and Matrix Partners to make that vision real. The company is pioneering a new generation of digital avatars powered by a 20-billion-parameter diffusion model that transforms a single image into a lifelike, interactive video agent. Unlike earlier attempts that felt robotic or uncanny, Lemon Slice promises fluid, expressive avatars that respond in real time—without requiring a server farm. Credit: Lemon Slice From Text to Talk: Why Avatars Are the Next AI Frontier For years, AI assistants have lived in text boxes. But as generative AI matures, developers are looking for richer, more human-like interfaces. Lemon Slice co-founder Lina Colucci believes video is the missing layer. “The compelling part about tools like C…