Flam has raised $40 Mn via a mix of primary and secondary deals, in its Series B funding round led by QED Investors
The fundraise comes at a time when the concept of mixed reality is gaining traction as D2C and ecommerce players deploy augmented reality (AR) and extended reality (XR) products to market their products and engage their audiences
Flam plans to use the fresh capital to ramp up research and development (R&D) in AI models, expand its product suite and introduce additional configurations of its interactive content format
AI-powered content platform Flam has raised $40 Mn (around ₹383 Cr), via a mix of primary and secondary deals, in its Series B funding round led by QED Investors.
The round also saw participation from actor Shah Rukh Khan’s family office, Claypond Capital (the family office of Manipal Group chairman Ranjan Pai), Australian Gulf Capital and a host of other angel investors including Martin Chavez and Olivier Pomel. Existing backers including RTP Global and Dovetail have also doubled down on their investment during the round.
Speaking with Inc42, Flam cofounder Shourya Agarwal confirmed that a “small portion” of the round comprised secondary capital. However, he did not disclose the size of the secondary deal, calling it “insignificant”.
Agarwal added that Flam plans to use the fresh capital to ramp up research and development (R&D) in AI models, expand its product suite and introduce additional configurations of its interactive content format. A chunk of the funds will also be used to accelerate enterprise sales across its existing and new markets.
Founded in 2021 by Shourya Agarwal, Malhar Patil, and Amit Gaiki, Flam initially enabled brands to publish mixed reality (MR) content online. It is now building an AI-powered interactive content platform that enables enterprises to create immersive, interactive experiences across areas such as marketing, product visualisation, entertainment and customer engagement.
The startup claims to build its technology stack in-house, including its AI model and products. Flam claims to cater to 100 customers, including Google, Reliance and Hyundai. The startup holds more than 15 patents and operates across three formats:
The latest funding comes nearly a year after Flam raised $14 Mn in its Series A round led by RTP. Post the round, the startup began expanding into international markets, with the US and Japan emerging as bigger overseas markets.
More than 50% of Flam’s business now comes from outside India, Agarwal told Inc42. He now expects this share to increase as the company expands globally, capitalising on the higher enterprise marketing spends in markets such as the US and Japan.
“We started expanding across three to four geographies. The US and Japan are the larger ones, but there are more countries where Flam is active,” he added.
The startup has now set its eyes on clocking $100 Mn in annual recurring revenue (ARR) by next year.
The fundraise comes at a time when the concept of mixed reality is gaining traction as D2C and ecommerce players deploy augmented reality (AR) and extended reality (XR) products to market their products and engage their audiences.
Earlier yesterday, omnichannel eyewear giant Lenskart picked up an additional 1.8% stake in XR platform AjnaLens’ parent Dimension NXG for ₹8 Cr, increasing its total stake in the startup to 9.01%.
In June, AutoVRse, which provides AR/VR training to enterprises, raised $2.4 Mn in a round co-led by Singularity AMC and existing backer Lumikai. Prior to this in April, immersive digital experience startup Ctruh also bagged $2.5 Mn in its seed round co-led by Inflection Point Ventures and Avinya Ventures.
At the heart of all this is the Indian AR and VR market, which is projected to become a $11 Bn opportunity by 2031.
Source: Inc42
