India’s EloElo nabs $80M from NBCUniversal for microdramas
Indian startup EloElo secures an $80 million Series C funding round led by Hornbill Capital and NBCUniversal, bringing its total fundraising to $130 million with a $500 million valuation.
Stock photo for illustration only, not from the actual event
- EloElo raises an $80 million Series C funding round led by Hornbill Capital and NBCUniversal
- The latest round pushes the company's total funding to $130 million
- EloElo reaches a company valuation of $500 million following the investment
- Story TV platform features a catalog of over 5,000 titles across six languages
As users spend more time on vertical video platforms, serialized content has surged in popularity across regions including the United States, China, and India, drawing investments and starring roles from Hollywood figures like Issa Rae, James Franco, and Kim Kardashian. Amidst this rising digital trend, Indian startup EloElo, the creator behind vertical video and microdrama platforms, has secured $80 million in a Series C funding round. The investment was backed by Hornbill Capital and NBCUniversal, alongside participants such as MIT Investment Co., Play Ventures, Kalaari Capital, Waterbridge Ventures, and Griffin Gaming Partners. This financing brings the company's total fundraising to $130 million and establishes a valuation of $500 million.
Given India's massive internet user base exceeding one billion and a strong appetite for entertainment, analysts project the country's microdrama industry to surpass $3 billion to $4 billion in annual revenue by 2030. Last year, dedicated streaming apps like Story TV, Kuku TV, and Quick TV ranked among the most downloaded video streaming applications in the nation. Story TV, founded in 2020 by former Flipkart executive Saurabh Pandey, has expanded rapidly over recent years, boasting a catalog of more than 5,000 titles available in six languages.
Stock photo for illustration only, not from the actual event
Saurabh Pandey told TechCrunch that due to the snackable and fast-paced nature of the content format, users average 95 minutes on the app daily through multiple sessions. He believes that while large-screen family viewing will retain its place, mobile devices will account for the vast majority of entertainment consumption. Microdrama platforms face intense competition from established giants like YouTube, Instagram, and TikTok, where creators post free content. To stand out, EloElo focuses on producing high-quality original content through strategic partnerships, such as collaborating with Indian television production company Balaji Telefilms.
The microdrama market represents one of the fastest-growing sectors in digital media, driven by bite-sized episodes designed to hook viewers with cliffhangers. However, monetization remains a major hurdle because users are accustomed to free social media content. Bridging the gap between free viewership and paid subscriptions requires a careful balance of premium storytelling quality and efficient production workflows enabled by advanced technology.
Monetization remains a persistent challenge in India, where audiences frequently consume free content but rarely convert into paying subscribers. Data from analyst firm Redseer indicates that while over 40 million people have paid for microdramas at least once, only 15 million to 17 million users pay on a monthly basis. Furthermore, a separate survey by Ormax Media revealed that 72% of respondents have never paid for microdrama content. To streamline production and scale output, platforms are increasingly integrating AI tools, similar to EloElo's Dolphin AI platform, which began internally to assist with video creation and is now expanding into a broader suite for editing, images, audio, and video.
Saurabh Pandey emphasized that human oversight remains essential for crafting compelling stories, positioning AI as a creative accelerator rather than a replacement for human directors.
"My belief in involving AI is that AI is a really fast race car where AI is the engine, but you need an extremely capable Formula One driver to be on the steering wheel. That, for me, is the creative director or the showrunner. AI is supposed to work with them, augmenting their skill set."
Saurabh Pandey
In addition to microdramas, EloElo operates a vertical video learning app named Master, competing with Seekho and Kuku's Guru, alongside an AI companion app called Voxy AI. The company reports more than 40 million monthly active users across its applications, with the majority belonging to Story TV. Currently employing 240 people, EloElo plans to expand its artificial intelligence and machine learning research team while allocating a significant portion of its fresh capital toward producing original titles.
Source: TechCrunch
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