Elevation Capital launches $500M fund with focus on Indian AI startups

Early stage venture capital firm Elevation Capital has announced the launch of its $500 million Fund IX with a specific focus on artificial intelligence (AI) startups in India as it believes there is a once-in-a-generation opportunity for Indian founders.

The new AI focused fund of Elevation Capital will invest at the Seed and Series A stages of funding as the firm’s goal is to partner early and have a deep partnership with these startups, a post from the firm said.

Elevation Capital had raised $670 million for its VII fund in 2022. In August 2025, the firm had launched a $400 million fund with focus on late stage investment.

Now, this VC firm strongly believes that despite much of the focus on AI investments is in the United States, there is much to offer from India. It highlighted that India is already the largest AI adoption market globally where every business is looking to make that shift, which in itself is an opportunity to Indian tech founders.

India today has over 900 million people online which has led to the emergence of thousands of startups catering to various needs of the consumers. The VC firm highlighted how 50 new-age companies are now publicly listed with a combined market cap of above $140 billion. “A first generation of founders proved that world-class software companies could be built from India for the world,” it remarked.

Elevation Capital noted that the domestic opportunity remains immense with over 900 million users. “We believe the best of healthcare, education and financial services will reach all of India for the first time, enabled by AI, built by Indian founders,” the post said.

The firm also went on to confidently state that there will be new companies built from India which do not just sell to the world but also lead in the categories. “We believe the first generation of AI-native global category leaders will get built out of India,” it remarked.

“A billion users, the hardest problems, the most powerful toolkit any generation of Indian builders has held - India is one of the best places in the world to be a builder right now, and it demands more of all of us, founders and investors alike,” the post said.

Among the portfolio of invested companies for Elevation Capital include the likes of Paytm, Swiggy, Urban Company, Spinny, MakeMyTrip etc.