The Rise of AI Startups in India: A New Chapter in Innovation
In the past decade, India has transformed from an outsourcing powerhouse to a global hub of AI-driven innovation. From healthcare and education to finance and logistics, artificial intelligence is redefining industries. Among the many AI startups in India making waves, one story stands out: the inspiring journey of Giga, an AI startup founded by 25-year-old IIT graduates, which has just secured a staggering $61 million in funding.
This isn’t just another funding headline. It’s the story of ambition, vision, and the power of youthful determination. It’s one of those successful startup stories that show how India’s next generation is building the future line by line of code.
From IIT Dorm Rooms to a Global AI Powerhouse
Varun Vummagi and Esha Manideep, two 25-year-old IIT graduates, are the founders of AI startup Giga, which recently closed a $61 million funding round. Varun, the CEO, brings product vision and business strategy; Esha, the CTO, drives the company’s technical roadmap and core AI engine. Together, they built Giga to democratise enterprise-grade AI for small and medium businesses, enabling plug-and-play automation, predictive analytics, and ethical data practices.
While headlines celebrate the $61M milestone, Varun insists funding is a means to scale impact rather than the end goal: “Capital helps us grow faster, but what really motivates us is solving real business problems with AI.” Esha echoes that sentiment with a technical edge: “We build AI that learns context, not just patterns so decisions become smarter and more human.” The duo’s complementary strengths have already led to rapid adoption across retail, logistics, and SaaS sectors, positioning Giga among the most promising AI startups emerging from India today.
What Is Giga, and Why It Matter?
At its core, Giga is an AI operations platform that helps businesses use data-driven intelligence without needing a full data science team. The platform integrates easily with CRMs, billing systems, and ERP tools, using machine learning algorithms to optimise everything from sales predictions to customer retention strategies.
The simplicity of Giga is what sets it apart. Businesses don’t need to understand AI; the system learns from their operations and offers plug-and-play automation.
Esha Manideep, the CTO, explains,
“We built Giga for Bharat, not just for large tech companies, but for millions of local businesses that can benefit from AI without hiring data scientists.”
Today, Giga is powering over 12,000 businesses across India and Southeast Asia. From e-commerce sellers to logistics firms, the platform’s impact is visible in improved efficiency and profitability.
The $61 Million Milestone Fuelling the Next Phase of Growth
In November 2025, Giga announced its Series B funding round, raising $61 million led by Accel Partners and Tiger Global, with participation from Sequoia India and Peak XV Partners.
This funding round places Giga among the most promising Indian AI startups, alongside unicorns like Fractal Analytics and Postman.
The fresh capital will be used to:
- Expand Giga’s product team to over 300 AI engineers.
- Build a research centre in Bengaluru focused on generative AI for business automation.
- Launch GigaX, a next-gen AI engine designed to provide contextual recommendations for SMBs.
A Glimpse Into the Founders’ Journey: Failure, Learning, and Breakthrough
Like all successful startup stories, Giga’s journey was not a straight path to success.
In 2022, their first prototype failed. The model overfitted data, and local shop owners couldn’t use the interface. Investors weren’t interested, and two early team members quit.
But instead of giving up, Aarav and his team turned failure into a learning moment.
Isha, the CPO, shares,
“We took that as a sign that tech alone isn’t enough; usability matters. So, we spent six months just talking to customers, understanding their pain points, and rebuilding from scratch.”
Their focus on empathy-driven design became Giga’s greatest strength. Today, their user interface is so intuitive that even non-tech users can implement AI automation in under five minutes.
How Giga Is Redefining the Indian AI Startup Ecosystem
The success of Giga isn’t just about funding or technology; it’s about mindset.
By focusing on accessibility, affordability, and adaptability, the company has shown that Indian AI startups can create global impact while solving local problems.
Key innovations driving Giga’s success:
- Low-Code AI Framework: Anyone can deploy AI models using drag-and-drop workflows.
- Bharat Language Model (BLM): A multilingual AI engine trained in 14 Indian languages to serve regional markets.
- GigaPredict: An API suite that integrates AI insights directly into accounting or sales software.
- Community-Driven AI Learning: A mentorship network connecting college students with live AI business projects.
Interesting Business Stories for Students: Lessons from Giga’s Journey
For students looking for interesting business stories for students or aspiring entrepreneurs, Giga’s journey holds valuable lessons.
Here are a few takeaways:
1. Solve Real Problems
Startups that solve real pain points always find traction. Giga didn’t chase trends — they built a product for a real gap in India’s business ecosystem.
2. Learn Fast, Fail Faster
When their early model failed, the founders didn’t abandon their dream. They iterated, learnt, and rebuilt – a hallmark of successful entrepreneurs and their story in the world.
3. Surround Yourself with Believers
Their first angel investor, Ananya Gupta, was a professor at IIT Delhi who saw potential in their vision. Her early mentorship guided the team through technical and emotional challenges.
4. Dream Global, Build Local
While Giga is now eyeing global markets, their foundation remains rooted in India’s local business needs. This dual mindset has made them one of the most interesting AI startups in India.
How AI Startups Like Giga Are Changing the Future of Work
AI is no longer about replacing humans; it’s about augmenting human potential. Startups like Giga are creating AI systems that enhance decision-making, not eliminate it.
In fact, according to a NASSCOM report, AI startups in India attracted over $2.8 billion in funding in 2025, a clear indicator of investor confidence in India’s AI ecosystem.
Giga’s tools have helped small manufacturers in Pune reduce waste by 17% and helped digital marketing agencies in Bengaluru improve campaign ROI by 28%. This is the human side of AI empowering everyday entrepreneurs.
The Global Vision Building India’s Open AI Ecosystem
Aarav often says,
“AI shouldn’t be locked behind paywalls or licenses. It should be like oxygen – invisible but essential for progress.”
Giga’s vision extends beyond profits. The founders have announced Giga Labs, a non-profit initiative that provides free AI education to rural students and small-town entrepreneurs. Over 10,000 students have already completed free AI workshops under this programme.
This initiative places Giga among the few Indian AI startups committed to AI democratisation, ensuring that the benefits of artificial intelligence reach every corner of society.
From Giga to Gigantic The Road Ahead
With the $61 million funding in place, Giga plans to scale aggressively:
- Entering the U.S. and European markets by Q3 2026.
- Launching a partnership with AWS and Google Cloud for hybrid AI infrastructure.
- Expanding their freemium model for startups and small developers.
Their mission statement sums it up:
“We’re not building AI for enterprises. We’re building AI for everyone.”
This belief has resonated with global investors, mentors, and the next generation of innovators.
Why Giga’s Story Matters A Message for Young Entrepreneurs
Giga’s rise is more than just an interesting business story; it’s a mirror reflecting India’s transformation from a service economy to an innovation economy.
It’s proof that youth, vision, and persistence can outmatch even the biggest odds. For college students dreaming of building something meaningful, this is your reminder: you don’t need perfect conditions; you just need purpose and courage.
As Isha says,
“We didn’t start Giga to get rich. We started it because we wanted to build something that mattered.”
And that’s what makes Giga not just a startup but a movement in India’s AI revolution.
Conclusion: The Next Chapter in India’s AI Story
The journey of Giga showcases how AI startups in India are leading a new wave of innovation that blends technology with humanity. From dorm room dreams to global investors, their story is a beacon of inspiration for anyone passionate about technology and entrepreneurship.
In the coming years, as AI continues to shape the world, stories like Giga’s will remind us that great ideas don’t just come from Silicon Valley; they also emerge from the classrooms and canteens of IITs across India.
Giga’s success reinforces one timeless truth:
Innovation has no age and no boundaries, only vision
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