ETtech: Revolutionizing AI Startups Across India's Heartlands
A wave of new-age AI-powered startups is sweeping across diverse cities in India, from Shillong in the NorthEast to Raipur in central India and Coimbatore and Kochi in the south. These ventures are leveraging local talent, cost efficiencies, and regional diversity to build Indic language technology models and services that are poised to transform the AI revolution.
Located in states with a lower cost of living compared to metro cities, these startups have managed to avoid the pitfalls of over-reliance on expensive labor costs associated with urban hubs. With the benefits of a better quality of life, remote working arrangements, and access to cheaper talent, they are establishing themselves as viable alternatives to traditional AI powerhouses.
One of the early adopters of Generation (Gen) AI has been Entri, a vernacular-language platform from Kochi-based Mohammed Hisam. The founder and CEO of Entri boasts 14 million users across 22 Indian languages, utilizing advanced GenAI to bridge the skill gap among regional workers.
"Real-time doubt resolution is accelerated by GenAI by manyfolds, enabling our personal AI tutor to interact with users in their local language," said Hisam, adding that the platform has secured Series A funding and is backed by several prominent investors, including Omidyar Network and Verlinvest.
Meanwhile, 3Daily, an AI 3D modelling company from Guwahati, Assam, is expanding globally to serve customers in 150 countries. With a library of over 10 million 3D datasets, the startup is revolutionizing the field by providing AI models specifically for the 3D industry.
"Training 3D artists in Guwahati was not a challenge due to the creative flavour present in Northeastern states," said founder Harsha P Deka. With plans to expand offices in the US, South Korea, and Japan, 3Daily remains committed to nurturing talent from tier 2 cities.
Pune has emerged as another hotspot for AI startups, particularly those related to software development, which has given investors a compelling reason to explore emerging markets through incubators and startup missions. Investors such as Cornerstone Ventures have backed several Pune-based companies.
"We are witnessing immense potential in cities like Pune, Raipur, Indore, Cochin, Surat, Ahmedabad, and Jaipur for tech innovation," said Abhishek Prasad, managing partner at Cornerstone Ventures.
The emergence of Indic-language models has created a unique opportunity for startups to tailor unique services in Indian languages. Bharat Innovation fund co-founder Ashwin Raguraman notes that technology combined with regional diversity is poised to launch a new cohort of ventures in deeper geographies across India."
"This trend will further grow as more and more founders, especially those from rural areas or tier 2 cities, explore tech-related career opportunities," said Raghuraman.