Kuku FM Raises USD 85 Million in Funding Round Led by Granite Asia, Valued at USD 550 Million

Bengaluru – Regional audio and video content platform Kuku FM has raised $85 million in a new funding round led by Granite Asia (formerly GGV Capital), with participation from existing investors including Vertex Growth Fund, Krafton, IFC, Paramark, Tribe Capital India, and Bitkraft.

The latest round pegs Kuku FM's post-money valuation at $550 million, making it one of the largest deals in India's growing audio and micro drama content space. This significant investment reflects why Indian tech startup funding has jumped dramatically as investors recognize the potential in regional content platforms.

Funding Breakdown

Platform Overview

Founded in 2018 by Vikas Goyal and Vinod Kumar Meena, Kuku FM offers content tailored for mobile-first, regional-language audiences, focusing on serialized storytelling and audio experiences. The company operates two primary platforms:

• Kuku FM – Audio-based content platform
• Kuku TV – Video-first micro drama platform

The company currently has over 10 million paying subscribers, highlighting strong consumer traction in a typically niche segment. This success story demonstrates how India's creator economy is booming toward a trillion-dollar future, with regional content platforms playing a crucial role.

Strategic Focus

According to Lal Chand Bisu, Co-founder and CEO, the fresh capital will be used to:

• Expand AI and data infrastructure
• Strengthen creator partnerships
• Scale up hiring and operations across India

The move aligns with Kuku FM's broader ambition to dominate the regional content landscape by using technology to drive personalization and platform scalability. This AI-driven approach mirrors the ultimate guide to AI agents and how they're transforming content delivery and personalization.

"This round enables us to go deeper with content innovation, improve recommendations, and expand our storytelling footprint across new Indian languages," Bisu said. The company's focus on AI-powered recommendations showcases how AI is revolutionizing Indian language content with efficient GenAI models.

Sector Outlook

India's audio and short-form video segment is witnessing rising investor interest as mobile internet penetration deepens in Tier 2 and Tier 3 cities. Platforms like Kuku FM are positioning themselves at the intersection of vernacular content, digital entertainment, and AI-enabled media delivery. This trend aligns with why VCs are betting big on AI application startups in India.

The startup had previously raised $25 million in September 2023, in a round co-led by Fundamentum Partnership (founded by Nandan Nilekani) and International Finance Corporation (IFC).

With the new funding, Kuku FM is well-capitalized to compete in a rapidly expanding market where regional, mobile-first storytelling is becoming a mainstream digital habit. The platform's success could benefit from India's new foreign investment rules that could supercharge startup growth, creating an even more favorable environment for content platforms.

As Kuku FM scales its operations, it joins the ranks of Indian startups leveraging AI and AI agents powering India's trillion-dollar software leap, demonstrating how regional content platforms are becoming significant players in India's digital economy transformation.