Google-backed audio content platform, Kuku FM, has managed to secure $25 million in its latest funding round on Wednesday. This move is part of the firm's strategy to expand its audiobook offerings in the South Asian market. The Series C funding was led by Fundamentum Partnership, a venture fund established by Indian billionaire and technologist Nandan Nilekani, with participation from International Finance Corporation, part of the World Bank, and Vertex (NASDAQ:VRTX) Ventures, a Temasek-backed entity.
According to Lal Chand Bisu, co-founder and CEO of Kuku FM, the startup has more than doubled its revenue over the past year and is on track to generate $15 million annually. The company aims to become profitable by the end of next year. The increasing consumption of audio content in India due to the widespread availability of affordable smartphones and internet access has created a growing demand for content that resonates with local preferences and languages.
On Thursday, it was revealed that Kuku FM had also raised USD 21.9 million from Fundamentum Partnership in September 2022. Other investors in the platform include Google (NASDAQ:GOOGL), Paramark, KRAFTON Inc., 3one4 Capital, V Cube Ventures, India Quotient (OTC:QTNTQ), and FounderBank Capital.
The fresh funds will be used to strengthen the content ecosystem, increase the depth of content across Indian languages for the Bharat 2.0 audience, and focus on technology, according to a company statement. Kuku FM currently boasts more than 2.5 million paid subscribers.
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