NuVentures, an early-stage venture capital firm founded by Venk Krishnan, has made an undisclosed investment in the AI unicorn .
The VC, with its India headquarters in Bengaluru, did not disclose the investment value in Perplexity, which was made through a secondary transaction. It also claimed it has seen a rapid rise in the value of its investment.
In a conversation with YourStory, NuVentures Founder Venk Krishnan said, “Our investment in Perplexity gives us access to the larger ecosystem of AI startups in the US.”
Founded in 2022, with one of its founders being IIT Madras alumni Aravind Srinivas, Perplexity has emerged as one of the leading disruptors in the AI and Gen AI industry, making its place among the likes of OpenAI, Anthropic, Meta, Grok, and Gemini.
The AI startup’s valuation has surged from $520 million in January 2024 to its current valuation of around $18 billion, making it one of the hottest AI startups in the sector. Some of its marquee investors include SoftBank, Databricks, Nvidia, and Amazon Founder Jeff Bezos.
Recently, Perplexity made an $34.5 billion unsolicited bid for Google’s Chrome browser. The USP of Perplexity is incorporating AI elements in internet browsing, which makes search contextual, unlike the present practice, where it provides various options.
The investment in Perplexity elevates NuVenture’s profile with access to all the key developments in the world of AI. It also gives the VC firm a sharp understanding of how large enterprises are looking at AI and scout for startups that could provide the solutions.
“Our goal is to get our name out in the market, gain recognition, and attract good startup founders,” Krishnan remarked.
Founded in 2015, NuVentures recently launched a $75 million fund to invest in startups in the US and India. Krishnan has been associated with startup investment since 2002, having started as an angel investor.
The Bengaluru-based VC, known for its early bets on NetKraft and Mu Sigma, has a portfolio of over 47 companies, including Third Wave Coffee, Bigbasket, Acko, HomeLane, Geist Beer, Lucidity, and Foxtale.
Today, NuVentures bets on startups building solutions for enterprise customers, especially in the US market, and aims to bring a direct connection between the startups and enterprises.
Krishnan said the fund aims to help the Indian ecosystem move beyond just consumer-focused plays and start building truly disruptive products for enterprise markets.
In the long run, the investment in Perplexity gives NuVentures a platform to help Indian startups better navigate the world of AI.
Krishnan added that much more needs to be done in the world of AI in India, which would require the participation of key players, including the government, large technology enterprises, and startups.
Edited by Suman Singh
