Dunzo Co-founder to Raise INR 80 Crore to Launch GenAI Startup

Mukund Jha, co-founder and former CTO of Dunzo, is in discussions to secure INR 80 crore (approximately $6-10 million) from Together Fund for his new generative AI startup. Jha, who departed from Dunzo in October 2023, has a background that includes tenure at Google in New York and founding two previous startups.

Jha's new venture focuses on generative AI with an aim to automate quality assurance processes in businesses, merging AI and SaaS technologies. Quality assurance involves running tests, identifying errors, and ensuring final products meet quality standards.

While Jha has engaged with Y Combinator, the outcome of these talks remains uncertain. Both Mukund Jha and Together Fund have not commented on the current negotiations.

This fundraising effort also coincides with Dunzo’s struggle to secure funding to maintain operations amid dwindling business prospects.

The funding talks come at a time when numerous top executives are leaving established startups to launch their ventures. Experienced leaders find it more advantageous to have significant stakes in their own companies rather than minor shares in larger, mature startups.

Together Fund, established in 2021, has invested in over 20 companies across various SaaS applications, including recruitment, sales intelligence, and healthcare. Some of its portfolio firms include DhiWise, SpendFlo, SecureDen, and TopLyne.