Peak XV Partners, a prominent venture capital firm, has earmarked approximately Rs 16,000 crore for investment in startups, with a strong focus on artificial intelligence (AI), according to managing director Rajan Anandan.
Speaking at the Global IndiaAI Summit in New Delhi, Anandan emphasized the firm’s readiness to invest in AI-driven ventures. “There’s no shortage of capital. We just want more people starting up in AI. Just within Peak XV, we have over 25 AI investments that we’ve made to date,” he stated.
Anandan highlighted the emergence of a new wave of AI application companies, leveraging AI to create useful consumer, prosumer, and vertical applications in sectors such as healthcare, retail, agriculture, and financial services. He also mentioned the rise of enterprise AI applications for customer support, underscoring Indian entrepreneurs’ proficiency in application development.
Describing the qualities sought in founders and companies for investment, Anandan noted that AI company founders should possess strong knowledge and should address real problems with solutions that are significantly superior.
Recent investments by Peak XV Partners include a $10.5-million funding round in AI health startup Cloudphysician, a $7 million round in AI-powered sales-intelligence startup OrbitShift through the Surge scale-up programme, and participation in a $105-million round in data collaboration software startup Atlan.
Anandan also stressed the importance of bolstering AI research and nurturing AI talent in India. “Firstly, 20% of global AI researchers are of Indian origin. They are mostly in the US, but we should bring them back. Secondly, we have the largest number of STEM graduates. We have the raw talent; we just need to make sure we invest in them over time,” he added.
On December 13, ET reported that India has $20 billion of venture capital dry powder, with a primary focus on AI, structured around three broad themes: startups developing AI-first tools and products for large enterprises, vertical AI applications in sectors like healthcare and financial services, and business software applications in sales, marketing, finance, and HR-tech.
Anandan’s insights reflect Peak XV Partners’ commitment to fostering AI innovation and supporting India’s burgeoning tech ecosystem.
