TakeTwo, an Indian artificial intelligence-native film studio, has raised capital at a pre-seed valuation of ₹100 crore, marking a milestone in the integration of AI with filmmaking. The funding round attracted participation from US-based Afore Capital and Canada’s Inovia VC. The investment is expected to support the company’s expansion of technology infrastructure, talent acquisition and broader global reach.
Founded by Rudresh Upadhyaya and Raghav Katta after graduating from a well-regarded AI startup programme, TakeTwo aims to blend cinematic creativity with advanced AI research to support directors and production houses in executing complex visual sequences and storytelling. Upadhyaya leads the company as Chief Executive Officer, while Katta serves as Chief Technology Officer.
The studio positions itself differently from traditional software-as-a-service companies by focusing on deep creative understanding alongside technical expertise. TakeTwo’s full-stack model supports filmmakers in achieving intricate visual effects sequences, stylised inserts, surreal environments and other high-end visual productions more efficiently and at lower cost than conventional methods. This combination allows production houses to scale creative ambitions without being constrained by traditional visual effects timelines and budgets.
The newly raised capital will be used to strengthen the company’s technology capabilities and expand its team of creative technologists. The founders and investors see this funding as a signal of confidence in TakeTwo’s ability to innovate at the intersection of AI and film production. The studio is already collaborating with multiple Indian filmmakers to integrate AI-assisted visuals into mainstream cinematic projects.
TakeTwo’s strategy blends both business-to-business and business-to-consumer models. This means that the company aims to serve large production houses as well as independent creators. By lowering barriers to advanced visual workflows, the startup hopes to enable a wider range of filmmakers to realise ambitious creative visions. The company currently uses external AI model application-programming interfaces to deliver its services and plans to develop proprietary AI agents trained on film-specific data in future iterations of its technology stack.
India’s media and entertainment sector is experiencing rapid growth. Recent industry estimates placed the market at around $30 billion in 2024, with projections suggesting it could reach $48 billion by 2030. Within this broader landscape, segments such as animation and visual effects are expanding as demand for high-quality digital content rises across film, television and digital platforms. The global AI video market is also gaining traction, with forecasts pointing to significant long-term growth as generative AI tools are increasingly adopted for content creation.
TakeTwo’s founders have emphasised that the studio was born out of a desire to address real challenges faced by filmmakers, particularly soaring production costs and the complexity of executing visually intensive scenes. The idea for the company emerged during their participation in an AI-focused startup programme, where discussions quickly shifted from generic AI research to its practical application in film production.
Industry observers have noted that the integration of AI into creative workflows represents a broader shift in how media is produced. Tools that assist with editing, visual effects, scene generation and style transfer are becoming more accessible, enabling faster iteration and experimentation. Startups like TakeTwo aim to position themselves as infrastructure partners rather than peripheral tools, providing capabilities that traditional VFX suppliers may find costly or difficult to replicate.
TakeTwo’s funding event also highlights investor appetite for AI applications beyond conventional enterprise software or consumer applications. Investors are increasingly backing startups that apply AI to domain-specific problems, including content creation, retail automation and sector-specific optimisation. In India, AI startup funding has seen continued interest, particularly in early-stage rounds where unique value propositions and niche applications are most pronounced.
The participation of global venture firms in TakeTwo’s pre-seed round reflects this trend. Afore Capital and Inovia VC bring experience in supporting early-stage technology companies with significant growth potential. Their involvement adds credibility and signals that AI-powered creative infrastructure is attracting attention beyond traditional markets.
TakeTwo says that one of its long-term objectives is to become a primary infrastructure provider for next-generation storytelling. By treating AI as core infrastructure rather than a peripheral novelty, the company aims to empower filmmakers to create high-fidelity visual intellectual property with greater flexibility and reduced overhead.
Although the startup ecosystem in India has seen diverse trends in funding and valuations, AI-focused ventures continue to secure capital as investors seek differentiated, high-impact applications of machine learning and automation. Early-stage funding rounds remain a key phase for identifying future leaders, especially in sectors where technology can materially change workflows and cost structures.
TakeTwo’s founding team emphasises that its approach does not replace the human creative process but seeks to enhance it. The company’s technology is designed to act as a creative assistant, allowing directors, cinematographers and visual artists to build compelling visuals faster and more efficiently. The ambition is to support not only large studios but also emerging creators who may not have access to expansive production budgets.
The capital infusion will be directed toward advancing technical infrastructure, building out AI-native film production pipelines and hiring talent across technical and creative roles. As the company scales its operations, TakeTwo plans to deepen its partnerships within the Indian film industry and explore opportunities in global markets where demand for scalable, cost-efficient visual storytelling tools is rising.
By securing funding at a strong valuation in its first institutional round, TakeTwo has positioned itself as one of the early beneficiaries of investor interest in AI applications that transcend traditional software categories. Its holistic approach to integrating AI into cinema suggests that the intersection of technology and storytelling will remain a fertile area for innovation and capital deployment in the coming years.