Accel announces $650 million early-stage fund to bet on AI, fintech

07 Jan 2025, 09:55 PM

Accel’s latest fund, its eighth in India and SEA, will bet on AI, consumer brands, fintech, and manufacturing areas.

Team Head&Tale

Venture capital firm Accel has raised a $650 million early-stage fund to support founders in India and Southeast Asia. 

Accel’s latest fund, its eighth in India and SEA, will bet on AI, consumer brands, fintech, and manufacturing areas. 

In fintech, the fund aims to back startups in wealth management, fintech infrastructure, and digital distribution; whereas in AI, the focus will be enterprise AI, services as software, vertical AI. 

With over 16 years of operating in India and Southeast Asia,  Accel has invested in companies such as Amagi, Acko, BlackBuck, BlueStone, BrowserStack, Cult.fit, Flipkart, Freshworks, Swiggy, Urban Company, and Zetwerk, among others. Accel is the first institutional investor in 80% of its portfolio companies. 

“With this latest fund, we are focused on AI, consumer, fintech, and manufacturing —areas that are reshaping industries and addressing the needs of a rapidly evolving market. Digital adoption is accelerating across urban and rural India, and founders are poised to solve real-world challenges and create solutions of global relevance. We believe the next wave of category-creating companies will come from those who can combine innovation with a deep understanding of customer needs," said Prayank Swaroop, Partner at Accel. 

According to Shekhar Kirani, Partner at Accel, “India’s startup ecosystem is increasingly becoming the driving force behind the nation’s economic progress, with VC-backed companies surpassing $50 billion in public market capitalization. Indian founders have built resilient and enduring businesses which have been embraced by the public markets. As India’s GDP and public market cap grow, we expect large outcomes from disruptive businesses led by bold and visionary founders."

Accel’s early stage scaling program, Accel Atoms, now in its fourth iteration, has supported 36 startups to date that have collectively raised over $200 million. In the past two years alone, Accel invested in over 27 AI startups in India or by Indian-origin founders.

Who Reads Us

I enjoy reading The Head and Tale for their coverage on the Fintech landscape. The reporting is incisive and honest,  and it demonstrates a sharp understanding of the industry and the issues that concern it. I'd like to extend my best wishes to Arti for her continued success.

Rahul Chari, Co-Founder and CTO, PhonePe
Rahul Chari Co-Founder And CTO, PhonePe

Well-researched, informative and analysis based reporting makes an interesting read. 'The Head and Tale' news portal has been demonstrating this quite well covering fintech and emerging tech sectors. Their timely updates, exclusive stories and different perspectives on these sectors help me stay informed. Kudos to Arti Singh for pursuing her passion and best wishes to the team.

Rishi Gupta, MD & CEO, Fino Payments Bank
Rishi Gupta MD & CEO, Fino Payments Bank

The Head and Tale stands out for its deep industry knowledge and impressive network of sources. I especially appreciate that the reporting remains independent, rarely resorting to paid puff pieces, making it a publication I can genuinely trust. Having followed Arti’s work for years, I’ve come to rely on The Head and Tale for its unparalleled insight and truly independent coverage. Arti’s long-standing presence in the sector means her reporting is always informed, with access few can match.

Lizzie Chapman, co-founder, ZestMoney
Lizzie Chapman Co-founder, ZestMoney

What I really appreciate about The Head and Tale is that it doesn’t just report the news, it interprets it. The stories are well-researched, comprehensive, and bold. Arti brings a fearless lens to reporting, often asking the uncomfortable but necessary questions. She makes you pause, reflect, and rethink what it all means for the payments and fintech ecosystem. It’s rare to find journalism that’s this sharp, timely, and relevant to the work we do every day.

Mohit Bedi, co-founder, Kiwi
Mohit Bedi Co-founder, Kiwi

I’ve always valued journalism that goes beyond surface-level headlines. The Head and Tale does exactly that - it connects the dots, asks the tough questions, and brings clarity to the shifts shaping our evolving industry. I’ve even encouraged my team members to subscribe, because staying informed through credible, deeply reported stories is as important as building products. For me, The Head and Tale has become part of essential reading.

Cofounder of IPO-bound leading fintech lending company
Cofounder of IPO-bound leading fintech lending company