Team Startupcity

• Dashverse, an AI entertainment startup from San Francisco & Bengaluru, raises $13 Million Series A led by Peak XV Partners with Z47 & Stellaris.
• Known for AI-powered products like DashReels, Frameo.AI, and Dashtoon, serving 20M+ users globally, with DashReels hitting 5M downloads in a month.
• Funds will boost proprietary AI stack, tech infrastructure, and model optimization to empower creators with high-quality, mobile-first serialized storytelling tools.

Dashverse, the San Francisco and Bengaluru-based AI entertainment startup, has raised $13 million in Series A funding marking the biggest such round in the mobile-first entertainment space to date. This significant milestone was led by Peak XV Partners, backed by earlier backers Z47 (formerly Matrix Partners India) and Stellaris Venture Partners.

Created in 2023 by Sanidhya Narain, Lalith Gudipati and Soumyadeep Mukherjee, Dashverse has quickly developed an ecosystem of story-telling products powered by AI such as DashReels for micro dramas, Frameo.AI for generation of videos and Dashtoon for AI-powered digital comics altogether catering to over 20 million users worldwide. Of specific interest is their microdrama product DashReels, which reached more than five million downloads in a mere month of release a testament to the runaway demand for bite-sized mobile-first episodic content.

With this new dose of capital, Dashverse is set to invest significantly priced between 60 to 70 percent into developing its own proprietary AI stack. That includes strengthening its backbone tech infrastructure with additional GPUs, optimizing its models, and ramping up AI training workflows so creators can produce content that preserves visual continuity and exact control over composition, character presentation, and narrative style.

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CEO Narain captures the company’s vision by comparing generative AI’s impact on storytelling to how camera phones revolutionized personal creativity via platforms like Instagram and TikTok. He emphasizes that with AI, imagination not resources will define creative potential. Dashverse’s ambition is to build the creative infrastructure for a future where mobile-first, serialized content is the norm, offering creators the tools to produce at high velocity while retaining narrative quality.

Investors are similarly upbeat. Abhishek Mohan of Peak XV regards Dashverse as the center of the creator economy's transformation, where storytelling instinct meets rich AI capability. Z47 appreciates the startup for keeping up with the rhythm of present-day content consumption, while Stellaris commends the founders for thinking ahead of time and building an AI-native entertainment future way before generative AI is mainstream.

This investment prepares Dashverse to further solidify its position as a leader in the next generation of AI-powered entertainment, allowing content creators across the globe to create more compelling stories at unprecedented velocity and agility.