Google-backed audio content material platform Kuku FM has raised $25 million in a brand new funding spherical because it seems to be to make deeper inroads with its audiobook choices within the South Asian market.
Indian billionaire and technologist Nandan Nilekani’s Fundamentum Partnership led the Sequence C funding in Kuku FM with Worldwide Finance Company, a part of the World Financial institution. Temasek-backed Vertex Ventures additionally participated within the new financing spherical, mentioned the five-year-old startup that counts 3one4 Capital and Krafton additionally amongst its backers.
Kuku FM, which has raised over $60 million up to now, operates an eponymous audio platform that provides over 150,000 hours of content material in genres together with private finance, romance, faith, and self-help. The content material, out there in six Indian languages and English, is pertinent to the native context and has helped Kuku FM make deeper inroads with customers in smaller Indian cities, cities and villages.
The startup neither shows adverts nor gives complimentary content material, solely allowing customers to pattern elements of episodes inside a sequence. As a substitute it fees 99 Indian rupees (equal to $1.2) for a month-to-month subscription and 999 Indian rupees for an annual one, granting customers limitless entry to its content material.
Lal Chand Bisu, co-founder and chief government of Kuku FM, informed TechCrunch in an interview that the startup has greater than doubled its income within the final one yr and it’s at the moment on monitor to generate $15 million income yearly. It’s aiming to change into worthwhile by the tip of subsequent yr, he mentioned.
Consumption of audio content material is more and more rising in recognition in India, because of the widespread availability of inexpensive smartphones and web entry. As huge numbers of Indians be a part of the net group, there’s a rising demand for content material that resonates with their preferences and is obtainable of their desired language.
Amazon can also be amplifying its footprint with Audible in India, partnering with native manufacturing entities to counterpoint the platform’s choices.
Kuku FM has captured a wider market share as a consequence of its limitless consumption mannequin, moderately than charging customers for every bit of content material. Bisu mentioned the platform collaborates with greater than 30,000 skilled content material creators who present their titles to the platform. To make sure high quality, the startup employs a rigorous vetting course of.
“Kuku FM has created a distinct segment class which caters to the distinctive and quickly evolving calls for of the brand new digital natives of India,” mentioned Prateek Jain, a Principal at Fundamentum Partnership, in an announcement. “Furthermore, Bisu and workforce have demonstrated an amazing understanding when it comes to making a enterprise mannequin with sturdy concentrate on unit economics and strong fundamentals.”
Kuku FM plans to make use of the brand new funding to broaden its catalog, with a selected emphasis on broadening its instructional content material choices, mentioned Bisu.