What Happened
EloElo Group, the Bengaluru-based company behind the Indian microdrama app Story TV, has secured $80 million in a Series C funding round. The investment was co-led by Hornbill Capital and NBCUniversal, according to a company statement. MIT Investment Co. also participated in the round, alongside existing investors Play Ventures, Kalaari Capital, Waterbridge Ventures, and Griffin Gaming Partners.
This latest raise values EloElo at $500 million and brings the company’s total funding to $130 million. The capital will be used to produce original shows in local languages, expand microdrama distribution outside India, and further develop Dolphin AI, the company’s agentic creative suite.
Company Details and Metrics
Founded in 2020 by former Flipkart executive Saurabh Pandey, EloElo operates four primary applications: Story TV, Master (a micro-learning app), Voxy AI (an AI companion), and Dolphin AI. The company reports more than 40 million monthly active users and 300 million total installs across these platforms, with the majority of users attributed to Story TV.
Story TV currently hosts over 5,000 microdramas in six languages, adding a new title every three hours. The company states that users spend an average of 95 minutes per day on the app. Revenue for the year ending March 2025 was reported at Rs 69.5 crore, with the company noting significant revenue growth since it began charging users in May 2024. EloElo employs 240 staff members and plans to expand its AI and machine learning research team.
Market Context and Competition
The microdrama format has gained substantial traction in India, with analysts estimating that over 118 million users watch microdramas monthly. According to Redseer Strategy Consultants, approximately 40 million Indians have paid for microdrama content at least once, though only 15 to 17 million pay on a monthly basis. Redseer projects that advertising revenue in the sector will grow from approximately Rs 24 crore in FY26 to Rs 5,000-5,500 crore by FY32P, driven by an expansion in ad-supported daily active users.
EloElo competes with other dedicated platforms such as Kuku TV and Quick TV, as well as general short-video apps like YouTube and TikTok. To differentiate itself, Story TV focuses on high-quality serialized content, including a partnership with Indian TV production company Balaji Telefilms to produce original titles. The company also offers various subscription tiers, including monthly, quarterly, and yearly plans, alongside ad-supported free content.
Strategic Partnerships and AI Integration
NBCUniversal’s involvement signals a push for international expansion. Deepak Arya, executive vice president of corporate strategy and development at NBCUniversal, stated that the partnership will leverage the company’s global capabilities to help EloElo expand into markets such as the United States.
Dolphin AI, initially developed as an internal tool for video creation, is being prepared for wider release. The platform functions as an editor with templates and models for generating images, audio, and video. CEO Saurabh Pandey emphasized that while AI accelerates production, human creative direction remains essential for high-quality storytelling. The company aims to use AI to reduce production costs and increase the volume of content, a strategy aligned with industry trends where AI is increasingly used for scripts, dubbing, and localization.
Industry Outlook
Omdia forecasts that microdramas will generate $14 billion worldwide by the end of 2026. In India, the market is seen as a significant opportunity given the country’s large internet population and appetite for mobile-first entertainment. While monetization remains a challenge due to user preference for free content, analysts expect the ecosystem to mature into a multi-model market combining subscriptions, advertising, and micro-payments. The integration of AI is expected to play a crucial role in lowering production barriers and enabling faster content cycles, similar to developments observed in China’s microdrama industry.