Hyderabad-based social media and chat entertainment platform Samosa Labs has raised $7 million (Rs 48 crore) in a fresh funding round from handset maker Xiaomi and venture capital firm Sequoia Capital India.
Abhilash Inumella, Co-founder and CEO of the venture, said the start-up will use the funds to ramp up its bandwidth capabilities.
He explained, “Since the primary touchpoints on our platform are videos, bandwidth capabilities become imperative in our business. Every user consumes at least 60-100 MB per day. Hence, bandwidth and server expenses become a major cost in our business.”
In 2015, the company had raised $1.3 million from Sequoia Capital as part of its seed funding round. For Xiaomi, this is the third such known investment into a digital media and entertainment start-up after Hungama and Sharechat.
Run by Samosa Labs Software Solutions Pvt Ltd, the venture was founded in 2015 by Inumella, Abhimanyu Pamulapati and Rahul Reddy Koora. The company operates a mobile app where users can create and edit videos with filters and stickers in permitted regional languages and share them on social media platforms like Facebook and chat or set them as WhatsApp statuses. Users can also access funny videos and movie dialogues from Telugu, Tamil, Hindi, Malayalam, Kannada movies.