Peak XV Raises $1.3 Billion in Fresh Funding, Doubles Down on AI Amid Surging Global VC Battle for India's Startups

Peak XV, formerly the India and Southeast Asia arm of Sequoia Capital, has secured $1.3 billion across new funds targeting India and Asia.

The capital raise boosts the firm's assets under management beyond $10 billion, with the majority allocated for investments in India over the next two to three years.

Peak XV's Journey from Sequoia Split

Peak XV emerged in 2023 after splitting from Sequoia Capital to independently manage its India-focused portfolio.

The firm now oversees more than 450 companies across fintech, software, and consumer internet sectors, from seed to growth stages.

Intensified Focus on AI and Deep Tech

With the new funds, Peak XV is prioritizing artificial intelligence, having already invested in over 80 AI startups.

Managing director Shailendra Singh emphasized sharpening focus on AI and cross-border opportunities amid rising competition.

VC Rivalry Heats Up in India

The announcement coincides with New Delhi's AI Impact Summit, attracting giants like OpenAI, Anthropic, and Google.

Competitors such as General Catalyst plan to invest $5 billion in India over five years, escalating the global VC race for top deals.

Proven Track Record and Returns

Peak XV has returned over $7 billion to investors since inception, with 35 portfolio companies achieving IPOs.

The firm maintains a lean approach, sizing funds based on opportunities for high returns rather than matching rivals' scale.