Datazip Bags Funding From Equirus InnovateX Fund

SUMMARY

Datazip bagged $1 Mn in its seed funding round led by Equirus InnovateX Fund

Datazip will use the capital to strengthen its existing tech stack and develop new data engineering and data analytics tools

Datazip is building a data lakehouse platform that gives companies access to data across multiple query engines, enabling them to develop apps leveraging AI, machine learning and LLMs

Bengaluru-based data engineering startup Datazip has raised $1 Mn (about INR 8.4 Cr) in its seed funding round led by Equirus InnovateX Fund.

Datazip will use the capital to strengthen its existing tech stack and develop new data engineering and data analytics tools, cofounder and CEO Sandeep Devarapalli told Inc42.

Founded in 2022 by Sandeep Devarapalli, Shubham Baldava and Rohan Khameshra, Datazip is building a composable data lakehouse platform that enables companies to use low-cost storage to store large amounts of raw data for their machine learning and business intelligence workloads.

The lakehouse platform uses open-table formats like Apache Iceberg, enabling access to data across multiple query engines, simplifying the development of apps leveraging large language models (LLMs), AI/ML models and customer-facing analytics, Devarapalli explained.

The startup claims that its data lakehouse solutions can boost the productivity of data engineers by tenfold and help businesses drive product adoption. Currently, Datazip offers three products — One-stack data, OLake, and Flatbread.

Within two years of its inception, Datazip has added 15 clients, including the likes of LimeChat, PagarBook and Wishlink.

Commenting on the funding, Devarapalli said, “As more organisations embrace open data formats and technologies like Apache Iceberg, Datazip is headed to be at the forefront of this transformative wave. Our goal is to empower data engineers, enhancing their productivity, and this investment is a crucial step towards realising that mission.”

Equirus InnovateX Fund was launched by financial services firm Equirus in January 2024. It is a $30 Mn investment fund, dedicated to support seed-stage tech startups.

“We are delighted to partner with Datazip in their mission to make data engineers 10x more productive. Their deep understanding of data engineering challenges, coupled with a clear vision, is what drew us to the founders. We believe their platform will become an essential tool for any data-driven business,” said Sunder Nookala, general partner at Equirus InnovateX Fund.

The funding comes at a time when the adoption of artificial intelligence and machine learning is on the rise in the country. India has emerged as a leader in the adoption of AI apps, with the country accounting for 21% of AI app downloads globally.

AI app downloads by Indians surpassed the 2.2 Bn mark by August 2024, with ChatGPT, Microsoft Copilot, and Google Gemini being the top three most downloaded AI apps.

To spur innovation within the homegrown AI ecosystem, the union cabinet approved IndiaAI Mission with a total outlay of INR 10,372 Cr over the next five years. Earlier today, it was reported that IndiaAI Datasets Platform will go live as soon as January 2025.

India is currently home to over 100 generative AI startups, which have raised over $600 Mn in funding since 2019. Spearheading this transition are names like SarvamAI and Krutrim, which are focused on building Indic LLMs.