IIFL Fintech Fund buys 10% stake in generative AI startup Vitra.Ai

IIFL fintech fund – backed by diversified financial services conglomerate IIFL Group – on Tuesday (July 30) announced that it has made its first investment in a generative AI startup - Vitra.ai.

IIFL Fintech Fund has picked up a 10% stake in Vitra.ai for an undisclosed amount.

Vitra.ai is known for its patented technology that aims to change the global approach to language translation.

The investment from IIFL Fintech Fund will help Vitra.ai further develop its generative AI technology.

Vitra.ai's technology offers several key features:

• Advanced translation algorithms: The system can understand and translate complex meanings, idiomatic expressions, and cultural nuances, ensuring that translations are both accurate and contextually appropriate.

• Instantaneous translation: Vitra.ai provides real-time translation for text, speech, video, and audio, facilitating seamless communication.

• Machine learning enhancement: The technology continuously improves through machine learning, evolving and refining its translations based on user feedback and new linguistic data.

• Wide language support: It supports over 75 languages and dialects, enabling effective communication across diverse linguistic groups.

The language translation market, which includes both human and machine translation services, is valued at approximately $20 billion to $25 billion.

Generative AI language translation is experiencing rapid growth, with a compound annual growth rate (CAGR) of 25-30%, and is expected to become the fastest-growing sub-segment in this industry.

Vitra.ai is already providing language translation services to major Indian companies such as IIFL, HDFC Bank, ICICI Bank, Bajaj Finserv, Swiggy, and Zepto.

Mehekka Oberoi, Fund Manager at IIFL Fintech Fund, highlighted the potential of generative AI in transforming language translation, noting its importance for reaching a wider customer base.

Satvik Jagannath, Founder of Vitra.ai, stated that the new funding round will enhance the company's capabilities to deliver innovative solutions for bridging language barriers.

Co-founder Akash Nidhi added that the investment marks a significant milestone in their pursuit of technological excellence and global connectivity, with plans to expand the business into new geographies.