Source: Entrackr
Chai Shots, a micro drama streaming platform based in Hyderabad, is set to raise $5 million in its first funding round. As per sources with direct knowledge of the company, Some angel investors may join the round as well.
“General Catalyst along with Info Edge are in advanced stages of closing a new funding round in Chai Shots,” said a source requesting to remain unnamed. “A few angel investors may also participate.”
What is Chai Shots?
Chai Shots is a short-video OTT (over-the-top) platform providing very short episodes (no more than two minutes). All material will be produced in multiple Indian languages to reach the widest regional audience.
Because it is the creation of the makers of Chai Bisket, a recognized digital media company from South India. The Chai Bisket team has been producing local content for almost nine years now including reels, short films, podcasts and stories from various regions of India. They have launched other platforms such as First Show, Mutiny Talent, and Studio Panchatantra, and Chai shots.
Chai Shots is still under development and is expected to launch in the coming weeks.
“The official launch and funding announcement might take a few weeks,” said another source. The person also noted that interest in this sector is increasing, and several other startups are expected to raise funds in the near future.
A Surge of Interest in Short-Form Content
The short-form content world is growing quickly in India. Earlier this week, Flick TV, a microdrama based in Chennai raised $2.3 million in seed funding. Led by Stellaris Venture Partners with participation from Gemba Capital and Titan Capital.
Chai Shots will compete with market players like Kuku TV (by Kuku FM), QuickTV (by ShareChat), Reel Saga and Reelies.
This financing event demonstrates the investor appetite for the microdrama and regional content space. Shortly after the deal was announced, General Catalyst announced that it was merging with India-based Venture Highway to expand its early-stage investment in India. It has invested in startups like Primus Senior Living, Nurix AI, and PB Healthcare since then.
As of now, Chai Shots, General Catalyst, and Info Edge have not responded to questions sent by entrackr regarding the deal
The next funding round for Chai Shots represents increasing investor confidence in regional and short-form content platforms in India. As the OTT landscape continues to advance, platforms like Chai Shots are in an excellent position to benefit from the audience that will continue to grow in this segment. Chai Shots launch, with the support of leading investors, could be a major move within the micro-drama streaming category.
