Kuku FM Raises $85M: India’s Audio Content Boom & Competition

Kuku FM Secures Funding⁢ to Fuel⁢ AI-Powered Storytelling Expansion ‍Amidst Legal Battles

kuku ‌FM, the Bengaluru-based ⁢audio ⁣and visual storytelling platform, has recently closed a new funding round⁢ as it doubles down on ⁤its GenAI-driven⁢ content creation strategy. This move comes as the company navigates a competitive landscape and ongoing legal challenges from rival Pocket FM. ‌Here’s a deep dive into ‍Kuku’s strategy, its reliance‍ on artificial intelligence, and the​ hurdles it ‌faces.

The Rise of AI-Assisted Content Creation

Kuku FM‍ isn’t aiming⁣ to ‌ replace creators with⁢ AI, but rather to⁤ empower ⁢them. The ⁣company has built an in-house GenAI studio, integrating tools from ‍industry leaders ⁢like ​OpenAI ⁣and ‌ElevenLabs alongside its own proprietary technology. This studio streamlines the‍ content creation process, assisting with ⁢tasks like generating‍ titles,⁤ plot outlines, scripts, dialog, and even thumbnails.

Currently, ⁢a ‌significant 70-80% of Kuku’s workflow is powered by GenAI, with the remaining 20% dedicated ⁤to manual audio and‌ video⁢ production.⁤ This ⁤hybrid approach allows for scalability and efficiency ‌while maintaining a human touch crucial for compelling ‍storytelling. Kuku’s CEO, Bisu, emphasizes the increasing effectiveness ⁤of ‍their in-house models, ⁤trained on the platform’s‍ own‍ data, surpassing the performance of‍ external AI tools.

Strategic ⁤Funding & Expansion Plans

The fresh capital infusion will be strategically allocated across several key⁤ areas. Kuku​ plans to bolster its AI and data infrastructure, expand its team of 150 (with⁢ a focus on tech and content talent), and strengthen⁤ creator partnerships. A key ⁤element of this ​strategy ⁣involves attracting ‌high-profile personalities – celebrities from film and television – to enhance‍ content offerings.

Beyond India, Kuku is actively ⁣testing⁣ its platform in the Middle East and the U.S., ⁣with ‌a planned ​full-scale launch in the ‌American market in 2026. This international expansion signals a broader ambition to become a global player in the​ rapidly ⁣evolving audio-visual storytelling ‌space.

Navigating a Competitive Landscape & Legal‍ Challenges

kuku FM operates in a fiercely‌ competitive market, with‌ Pocket FM emerging as a primary rival. this competition⁣ has spilled over ⁣into⁤ the legal arena,with Pocket FM filing multiple copyright infringement lawsuits against​ Kuku. Most recently, the Delhi High Court issued a‌ temporary injunction, restricting ‌Kuku‌ from‌ releasing ‍new episodes⁣ of five shows following allegations of intellectual property⁢ violations.

Bisu dismisses these lawsuits as strategic distractions timed⁢ to coincide with‌ Kuku’s fundraising efforts. He‍ asserts that Kuku​ maintains a⁢ dedicated team and AI-powered tools to proactively identify and prevent the upload of copyrighted material. ​ Further​ investment ‌will ⁣be directed towards enhancing these detection capabilities.

Performance & Revenue Insights

While Kuku boasts higher download⁤ numbers then Pocket FM,Appfigures‌ data ‍reveals a significant disparity ‌in in-app purchase revenue. Pocket FM⁤ generates a substantial‌ 98% of its revenue ‍from outside india,despite 82% of its downloads originating within the country. Conversely, India accounts for the majority of Kuku’s downloads and earnings.

Interestingly,‌ Kuku experienced growth in ‍both‌ downloads and​ consumer spending in 2025, while Pocket FM saw a 21% decline ⁤in downloads alongside ​a robust 61% increase in consumer spending, ⁢reaching $100 million.‌ This suggests⁤ differing monetization strategies and audience⁢ engagement patterns.

Looking Ahead: ‌ AI, Content, and global Ambition

kuku FM is positioning itself at the ⁢forefront of AI-assisted storytelling. By focusing on empowering creators with powerful AI tools, while concurrently⁤ investing in content quality and strategic ‍partnerships,⁢ the company aims to capture a larger share⁢ of the burgeoning audio-visual entertainment market. Successfully navigating the ⁤legal challenges and executing its international​ expansion plans ⁤will be critical to realizing this ambition.

Image Credits: Jagmeet‍ Singh ​/ TechCrunch