Accel Leads Funding Round for Generative AI Startup Simplismar

Bengaluru-based generative AI startup Simplismart is poised to secure a new funding round led by venture capital giant Accel, according to sources familiar with the deal. This development places Simplismart among a growing number of generative AI companies that have attracted significant investments in 2024.

“Accel is spearheading a $7 million round for Simplismart, with participation from existing investors,” revealed an anonymous source. “Simplismart has received the final agreements, and the deal is expected to be officially announced soon.” While the company previously secured seed funding from Anicut Capital, Sunn91, First Cheque, and Shastra VC, those investments were not publicly disclosed.

Accel Leads Investment in Simplismart, a Generative AI Platform for Everyone

Founded in 2022 by Amritanshu Jain and Devansh Ghatak, Simplismart empowers businesses to develop and manage scalable, production-ready AI systems without the need for coding. Their platform boasts user-friendly features that allow both experts and novices to collaboratively train and monitor machine learning models across diverse datasets and applications.

Industry insiders estimate that the funding round will value Simplismart at approximately $35 million. Neither Accel nor Simplismart responded to requests for comment regarding the investment.

Simplismart’s inclusion in the AWS ML Elevate program, a collaborative effort between Amazon Web Services and Accel launched in July 2023 that selected 35 promising generative AI startups from India, underscores the company’s potential. This initiative reflects a broader trend of surging interest in generative AI within India’s tech landscape.

The Generative AI Wave Hits India: Startups and Funding Surge

A recent NASSCOM study revealed a more than twofold increase in the number of generative AI startups in India between 2021 and 2023. This trend is further corroborated by a significant rise in funding activity for such companies since December 2023.

Data compiled by startup data intelligence platform TheKredible indicates that over half a dozen early-stage generative AI startups have collectively raised nearly $100 million in the past six months. Among these, Sarvam AI leads the pack with a $41 million Series A round, followed by Ema and Neysa, which secured $25 million and $20 million in their respective seed funding rounds. Other notable players in this space include Vodex, KonProz, Dubpro.ai, PlanckDOT, and Ayna.