Language streaming platform Kuku has raised $85 million more as part of its Series C round led by multi-asset investment platform Granite Asia (formerly GGV Capital), with participation from Vertex Growth Fund, Krafton, IFC, Paramark Ventures, Tribe Capital India and Bitkraft, it said in a statement on Thursday. The round values the company at about $500 million post-money, a person with knowledge of the deal said on condition of anonymity because the deal terms are private. The amount will be used to strengthen Kuku’s artificial intelligence (AI) and data infrastructure, hire across technology and content, deepen and scale up creator partnerships in India and overseas, the statement said. The fundraising comes amid growing demand for short, serialized video “micro-dramas” and premium audio programs, reflecting renewed investor interest in mobile-first storytelling formats in regional languages. Kuku FM last raised $25 million in September 2023, as part of the Series C round, co-led by Nandan Nilekani’s venture capital firm The Fundamentum Partnership and the World Bank’s private sector investment arm International Finance Corporation (IFC), with Vertex Ventures also participating. At the time it was valued at about $185 million post-money. The platform has so far mobilized around $155 million in equity from a mix of local and global investors such as Google, Paramark, 3one4 Capital, V Cube Ventures, India Quotient, FounderBank Capital, Vertex Ventures, Fundamentum and Krafton. Founded in 2018 by Lal Chand Bisu, Vinod Meena and Vikas Goyal, Kuku FM started as an audio platform that offers creative tools, enabling users to produce and publish original programs in various Indian languages. Kuku operates two streaming products: Kuku TV, which serves long-form stories as bite-sized, vertical micro-drama episodes and Kuku FM, an audio-first service that spans entertainment and knowledge, optimized for off-screen listening. The platform currently has more than 10 million paid subscribers, Kuku FM founder and CEO Lal Chand Bisu said in the statement. “With this investment, we will bring celebrated actors and TV personalities into our shows. This will build more and more shows that cross 100 million views while delivering the premium content to our audience,” Bisu added. Microdrama boom India’s digital streaming consumption is expanding on the back of a large smartphone base, low mobile data rates and frictionless micropayments via Unified Payments Interface (UPI). Kuku estimates the short-form audio and video market in India could reach about $2 billion annually over the next five years, following trends seen in China and the US. “Kuku represents a new wave of Indian consumer platforms built on deep local insight and mobile-first innovation,” said Jenny Lee, senior managing partner at Granite Asia. “We are excited to catalyze the team’s vision to become India’s leading storytelling platform, leveraging our experience in partnering with consumer technology leaders across Asia to transform local creativity into global platforms. Kuku FM’s competitor Pocket FM has also appointed Goldman Sachs to raise $100-150 million to fund its global expansion, Mintnr reported in a global expansion, Mints reported. including venture capital-backed players such as Flick TV (funded by Stellaris Venture Partners), Dashverse (funded by Peak XV), Story TV (funded by Kalaari Capital) and Zee Entertainment’s Bullet. Meanwhile, established media firms and social platforms are scaling their efforts through their own platforms, such as Balaji Telefilms’ Kutingg, ShareChat’s Moj and QuickTV, Mint reported last week. Analysts estimate that India’s short-form video and microdrama ecosystem currently generates about $50 million in monthly revenue, or about $600 million annually, with more than 300 million users and a potential to expand to an $8-12 billion market by 2030, according to the business consulting firm Redseer.
Kuku FM raises $85 million in Series C round led by Granite Asia
