The Venture Codex

Participated · Series I · Aug 2021

VerSe Innovation is the parent company of Dailyhunt and the short-video app Josh, operating a large vernacular news aggregation and content platform. Dailyhunt claims over 350 million monthly active users, while Josh reports 68 million daily active users and 139 million monthly active users. The company focuses on scaling vernacular reach and multimedia offerings across its products. VerSe said proceeds from its latest financing will be used for general corporate purposes, supporting business growth and expansion. The Bengaluru-based startup has raised over $1.5 billion to date and was most recently valued at $5 billion in a round led by the Canada Pension Plan Investment Board. In FY23 VerSe reported revenue of Rs 1,809 crore (up 57% YoY) and losses of Rs 2,059 crore. VerSe Innovation operates Dailyhunt (a multi-language news aggregator), Josh (a short-video app) and PublicVibe, and has built a significant adtech business to monetize users outside India’s largest cities. Josh reports over 150 million users, 50 million content creators and more than 80 billion plays per month; Dailyhunt has over 350 million users and PublicVibe serves over 5 million monthly active users. The company monetizes through advertising (with 400 advertisers integrated end-to-end and roughly 50% enterprise advertisers), influencer-led commerce, curated shopping lives, and contextually shoppable videos. VerSe says creators sell goods on the platform and the firm is experimenting with web3 ideas (tokens/NFTs) to expand monetization. The startup plans to deepen AI/ML capabilities across its apps, launch additional apps, and remain focused on growth in the Indian market. Financially, the company has raised substantial capital and says the new funding plus reserves provides runway for several years. VerSe Innovation operates Dailyhunt, a multi-language news and content aggregator, and Josh, a short-video app. Josh has amassed over 115 million monthly active users, including 56 million daily users, while Dailyhunt reports over 300 million monthly active users. The company is backed by Google and Microsoft. VerSe is building a family of apps focused on serving users in scores of local languages and plans to replicate that approach as it expands into international markets. It also plans to invest in broadening its AI/ML stack to offer more personalized user experiences. The startup's valuation has more than doubled in the past five months, having been valued at over $1 billion in its Series H and is reported to be nearing $3 billion in the new round. VerSe Innovation operates Josh, a short-video platform that supports 12 languages and DailyHunt, a local-language news aggregator. Josh, launched in July 2020, has crossed over 50 million downloads and positions itself as "for-Bharat, by Bharat." DailyHunt aggregates local-language content from newspapers and websites and also provides free TV streaming in multiple local languages. The Bengaluru-based company plans to use new funds to augment local-language content, develop its content creator ecosystem, and invest in AI and ML. It achieved unicorn status in December after raising $100 million from Google, Microsoft, and AlphaWave at a valuation above $1 billion. The most recent round adds another $100 million from the Qatar Investment Authority and Glade Brook Capital Partners.