Indian entertainment company EloElo has raised $80 million in a Series C round as it looks to grow its Story TV microdrama platform. Hornbill Capital and NBCUniversal led the investment, which brings EloElo’s total funding to $130 million and its valuation to $500 million. MIT Investment Co. and existing investors also participated, including Play Ventures, Kalaari Capital, Waterbridge Ventures and Griffin Gaming Partners.
Microdramas—short, serialized stories designed for mobile viewing—have gained traction in India. More than 118 million people in the country watch them each month, according to the figures cited in the report. Story TV is among the leading apps in the category, with more than 33 million monthly active users, based on Sensor Tower data.
Founded in 2020 by former Flipkart executive Saurabh Pandey, Story TV offers more than 5,000 titles in six languages. The company says viewers spend an average of 95 minutes a day on the app, across multiple sessions. EloElo also operates the vertical video learning app Master and the AI companion app Voxy AI; across its apps, it reports more than 40 million monthly users, most of whom are on Story TV.
The company plans to use part of the new funding to produce more original titles and expand its AI and machine-learning research team. It is also developing Dolphin AI, a tool that began as an internal aid for video production and is intended to become more widely available. The platform offers templates and models for creating images, audio and video. EloElo also sees potential uses in marketing campaigns and advertising.
Story TV competes with free video platforms such as YouTube and Instagram, as well as other services focused on serialized mobile stories. EloElo says it aims to attract viewers with professionally produced content and points to its partnership with Indian production company Balaji Telefilms. Story TV offers paid monthly, quarterly and yearly subscriptions, alongside some advertising-supported free content.
Turning viewers into subscribers remains a challenge for the category. Redseer estimates that more than 40 million people in India have paid for microdrama at least once, while 15 million to 17 million pay monthly. A separate Ormax Media survey found that 72% of respondents had never paid to watch microdramas.
EloElo’s funding comes as analysts expect India’s microdrama industry to generate $3 billion to $4 billion in annual revenue by 2030. The company currently has 240 employees and plans to grow its AI and machine-learning team.
Sources: TechCrunch.