With participation from All In Capital, UntitledVC, DeVC, and other angel investors, Companion Labs, a consumer AI company creating interactive, entertainment-driven experiences for India's vernacular and culturally diverse audiences, has raised $2.5 million in a seed funding round led by Peak XV's Surge.

Key Highlights

• Companion Labs raised $2.5 Mn in a funding round led by Peak XV to scale operations.
• The investment will support product expansion, technology development, and accelerated market penetration across key healthcare segments.

The announcement comes after Companion Labs attended the India AI Impact Summit 2026 in Delhi last week, where the firm was highlighted at the Impact AI PitchFest, the summit's main event.

According to a news statement from Companion Labs, the money raised will be used to further refine the product as it strives for product market fit, invest in AI capabilities, and speed up product development.

Companion Labs is a consumer AI firm that was co-founded in early 2025 by Akshay Jhanwar and Ajit Pol. It creates interactive, entertainment-driven experiences that are suited for India's vernacular and culturally varied audiences. The startup allows users to explore alternative lives, occupations, and aspirations in highly local surroundings by utilizing AI-powered characters and tales.

Using AI-powered narratives, the Bengaluru-based business creates immersive, character-driven experiences that let users explore different lives, occupations, and aspirations. It views AI as a creative tool that allows individuals to lead parallel lives in highly contextualized environments influenced by language, culture, and individual aspirations.

Also Read: Peak XV Raises $1.3 Bn to Boost India and APAC Startup Growth

Companion Labs claims that it is creating experiences specifically tailored to the linguistic, cultural, and social quirks of Tier 2, Tier 3, and Tier 4 audiences in India. Targeting a youthful, aspirational, and technologically savvy demographic, the firm focuses on vernacular languages like as Tamil, Telugu, Gujarati, Punjabi, Marathi, and Bengali.

The company's long-term goal is to establish a new genre of AI-native entertainment tailored to the vernacular internet users of India.