Prime Highlights-
- HCLTech is likely to invest $150 million and lead Sarvam AI’s proposed $300 million funding round.
- The funding could value Sarvam AI at around $1.5 billion, making it one of India’s biggest AI startup deals.
Key Facts-
- HCLTech is one of India’s largest IT services companies and operates across several global markets.
- Sarvam AI focuses on developing foundational artificial intelligence models and generative AI technologies.
Background-
Indian IT services company HCLTech is expected to lead a $300 million funding round in AI startup Sarvam AI, according to people familiar with the matter. The proposed investment could value the company at nearly $1.5 billion and may become one of the biggest recent fundraising deals in India’s artificial intelligence sector.
Sources said HCLTech is likely to invest around $150 million as part of the round. Venture capital firm Bessemer Venture Partners is expected to contribute another $50 million. The remaining amount may come from investors including Nvidia, Prosperity7, Glade Brook, Activate and several existing investors.
Sarvam AI is already backed by major investors such as Khosla Ventures, Lightspeed and Peak XV Partners. Existing investors are expected to participate in the latest round on a pro-rata basis.
The company has emerged as one of India’s most closely watched AI startups as interest in generative AI continues to grow across industries.
In March, reports said Sarvam AI had started talks to raise nearly $250 million from HCLTech, Nvidia, Accel and other investors. In the first week of April, reports also said Bessemer Venture Partners had entered advanced discussions to join the funding round after Accel decided not to participate.
The proposed deal is being seen as an important step for India’s growing AI ecosystem. If completed, it would mark a rare instance of a large Indian IT services company making a major investment in a domestic AI startup.
Industry observers believe the move reflects rising pressure on traditional technology firms to strengthen their AI capabilities as generative AI rapidly changes the global technology and outsourcing sectors.