Karta AI Closes $3 Mn to Expand AI Customer Service Platform

Funding Details

Karta AI secured $3 million in a seed funding round co-led by PeerCapital and Cedar Hill Capital. Other investors participating in the round include Wyser VC, CDM Capital and Seedstars.

The company will use the fresh capital over the next two years to expand its go-to-market operations, strengthen distribution and improve its AI technology. It also plans to develop capabilities that enable its AI agents to handle complex customer interactions more effectively.

What Does Karta AI Do?

Founded in 2024, Karta AI provides an AI-powered customer communication platform that supports voice calls, chat, email and WhatsApp. Its AI agents help businesses manage customer service requests by retrieving information from multiple enterprise systems and completing tasks during conversations.

The platform focuses on complex customer queries, including failed payments, blocked cards, loan-related questions and insurance claims. Its solutions are particularly designed for businesses in the BFSI sector, where customer requests often require coordination across several systems.

How Will Karta AI Use the Funding?

Karta AI plans to strengthen its distribution network and reach more customers through expanded go-to-market operations. It will also invest in product development, including self-learning capabilities for its AI agents.

The startup aims to build reusable, industry-specific solutions before expanding into international markets. Its focus is on automating complex customer service workflows while allowing human agents to handle sensitive or high-risk cases.

Business Growth and AI Capabilities

According to the company, Karta AI handles approximately 2 million customer conversations every month and has 10–12 paying customers. Its reported customers include PhonePe, Pine Labs, Bajaj and Aavas.

The startup says its platform can resolve around 70% of borrower queries end to end without human intervention, according to co-founder and CEO Vijaypal Singh. It also reports a reduction of approximately 50% in the cost per query.

Karta AI's voice platform supports around 25 Indian languages, while its chat offering supports more than 200 languages. The platform uses AI models from OpenAI and Google's Gemini family, alongside open-source models such as Kimi and Gemma.

About Karta AI

Karta AI was founded in 2024 by Vijaypal Singh and Abhishek Kushwaha, former Razorpay executives. The founders initially focused on chat-based automation before expanding into voice AI in August 2025.

The company uses a proprietary context engine to identify customer intent, retrieve relevant information and manage multiple requests within a single conversation. Its technology draws on business procedures, knowledge bases, previous conversations and API data to support customer service operations.

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