An open letter to Sarvam AI + Updates from Oyo, FirstCry, and Flipkart

A major development just rocked the Indian startup scene - Sarvam AI unveiled its own large language model. A homegrown AI, built in Bengaluru, backed by the Indian government and top investors such as Lightspeed, was chosen to lead the country’s first sovereign AI project. Sounds like a dream come true, right? A small team from India taking on OpenAI and Google. Honestly, we wanted to stand up and clap. We really wanted to feel proud - this was India’s moment. But instead, we are sitting here thinking, and an inner voice says - why should we care?

Sarvam just launched a model they call Sarvam-M. It is trained on several Indian languages - Hindi, Tamil, Bengali, Gujrati, etc. etc. It can also solve JEE questions, write code, and is looks super smart. Everything sounds amazing on paper. But after all the excitement, we were thinking - how does this help us? Or my parents? How can it be useful for me?

Right now, Sarvam’s message seems to be: “We built something cool. It’s Indian. Please support us.” But that’s not enough. We’ve seen this before. Koo and Hike bombarded us with same messages. We supported them, felt patriotic, and then… forgot about them. Because they didn’t give us a real reason to stay. Now, we don’t want Sarvam to end up in that same thought of ‘good intentions’ that end up nowhere.

We think that part of the problem is what founders are saying. There’s too much tech talk - tokens, parameters, some RLVR thing, etc. but not enough about what really matters. They’re speaking to engineers and government officials. But if they want to build something that truly belongs to India, they need to speak to people, regular people like us. The kind of people who don’t care about 24 billion parameters but care about their kids’ education, their parents’ health, or just hearing their own language spoken by a machine.

Even OpenAI really only took off after the launch of ChatGPT, which was targeted at normal people, not engineers. In the process, it became the fastest growing consumer product ever; and led to more developers learning about and using OpenAI’s APIs, where the real money is.

ChatGPT already speaks Indian languages, so how can Sarvam stand out? If it aims to become the top choice for Indians, it has to connect with us and be very affordable. Imagine an older woman in a village sending a voice message in Punjabi to her grandson using Sarvam, or a child in school writing their first story in Telugu with it. We need those moments that make us happy, emotional, and feel like this technology was truly made for us.

Sarvam actually has the tools. Their voice AI already supports 11 Indian languages, and it sounds pretty real, not like a robot. But where are the stories? Where are the videos that make you stop scrolling and think, “Wow, this is ours”?

Another thing that we think is missing is the people behind it. We don’t know them. Vivek Raghavan and his team seem like brilliant minds, but they’re nowhere to be seen - no interviews, no videos, no personal posts. In today’s world, faceless companies don’t connect. We follow people, not logos. Look at Sam Altman or even Aravind from Perplexity. People want to hear from them, see what they’re building, and understand their vision. Sarvam’s team needs to step up, even if it feels uncomfortable and cringy. Talk to us like you’re building this with us, for us!

And let’s be honest - good products don’t just go viral. They need paid help. When Sarvam-M launched, it got just 720 downloads in three days and that’s worrying. Because at the same time, they were saying their campaign reached 4% of India’s adult population. Something’s not right. You can’t just build and hope, you have to push. Pay influencers, make demos and spend like you want the world to notice.

Most importantly, we think Sarvam needs to give us something to believe in. “Support Indian AI” isn’t enough anymore. Tell us why you’re better. Say things like, “Google doesn’t get how we mix three languages in one sentence, but we do.” That’s what makes people rally behind you. Show us where the others fall short and how you’re fixing it.

At the end of the day, nobody remembers technology, but they cherish moments. That one video, that one story, that one time someone used Sarvam and felt like it was made just for them. That’s how you win hearts. And that’s how you grow - even in a world filled with noise.

We still believe in Sarvam, and we believe in an India where we build for ourselves, in our languages, and in our voice. With government backing, Microsoft’s partnership, and strong GPUs; they have a lot of power. But that’s not enough. Now, they need to show us why it matters, why it’s ours and why we should care. They should stop asking us to support them, but make us feel like we’re part of something big and beautiful. Something that finally says - this is our AI. Because if they can do that, they won’t need to explain 24 billion parameters ever again.

Let’s go through what else is happening in Indian startup world - Grab your simmering cup of StartupChai.in and unwind with our hand-brewed memes.

“Kuch Bhi Toh Nahi Hua”: BIS Seizes Goods Worth INR 90 Lakh In Raids On FirstCry’s Bengaluru Warehouse

The Bureau of Indian Standards (BIS) conducted a full-day inspection at FirstCry’s warehouse near Hoskote in Bengaluru, seizing goods worth approximately ₹90 lakh.

The search concluded by 9 PM, following a detailed operation in Bheemakkanahalli Village. FirstCry has stated that the raid has not affected its ongoing business operations.

Read more here

“Utsav Ka Mahaul Hai”: Flipkart to hire 5,000 employees in 2025 amid push into quick commerce, AI, and fintech

Flipkart is set to hire 5,000 new employees in 2025 as it doubles down on quick commerce, fintech, and AI.

Announced at its internal townhall, the move supports expansion of Flipkart Minutes and Super.money. With IPO buzz and a possible shift back to India, the Walmart-backed giant is clearly gearing up for big moves.

Read more here

“Sapne Dekhe Bade Bade”: OYO Plans To File IPO Papers By September

OYO’s IPO dreams are back on the map, with plans to file its draft papers by September. Word is, the hospitality startup is chatting with bankers to target a $6–7 billion valuation.

If all goes to plan, you might see OYO making its market debut by the end of this fiscal year.

Read more here

“Hum Saath Saath Hai”: Now, Users Can Sell Their Cars On CRED

CRED just made car selling a lot smoother—users can now list their vehicles directly on the app through CRED Garage.

Partnering with CARS24 and Spinny, the platform promises instant valuations, free inspections, and quick payouts. No paperwork, no fuss - just a few taps and your car could be sold.

Read more here

“Chinta Ka Vishay Hai”: Centre To Hold Meeting With Amazon, Flipkart & Other Ecommerce Players Over Dark Patterns

The Centre is calling ecommerce biggies like Amazon, Flipkart, Meesho, and Apple to the table on May 28 to discuss dark patterns.

These sneaky design tricks - like auto opt-ins and hard-to-cancel subscriptions, have raised red flags for consumer rights. The government’s message is clear: it’s time to clean up the digital shopfront.

Read more here

1. PE firm Multiples has closed a $430 Mn continuation fund to back winners like Vastu, Quantiphi, and APAC Financial. Led by global investors, the deal offers early backers a chance to cash out while keeping the growth story alive.
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2. Wellness beverage brand TOVA has secured undisclosed funding from the Poonawalla Group to fuel its pan-India expansion. Known for its six-flavour lineup, the startup now aims to pour bigger across retail shelves nationwide.
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3. Fleetx has raised $13 Mn to boost digitisation in logistics, pushing its valuation to over ₹1,200 Cr. With an eye on profitability and a future IPO, the startup is speeding ahead—delivering 18X returns for early backer LetsVenture.
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4. Mumbai-based luggage brand EUME has raised ₹25 Cr in a Series A round led by Ashish Kacholia to expand its product line and offline footprint. Despite growing revenues in FY24, the D2C startup is grappling with rising losses as it scales.
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5. AI-powered manufacturing startup Frinks has secured $5 Mn in funding led by Prime Venture Partners to advance its automated quality control systems. With $6.25 Mn raised so far, Frinks is set to transform production lines through smart automation.
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6. Quick fashion delivery startup Slikk has raised $10 Mn led by Nexus Venture Partners to expand into new lifestyle categories and roll out instant returns. With 150 brands onboard, Slikk aims to grow its portfolio to 500 brands by 2025 while scaling into more urban areas.
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7. Mumbai-based quick home service startup Snabbit is in advanced talks to raise $20 Mn in a Series B round led by Lightspeed Ventures. Existing backers like Elevation Capital and Nexus Venture Partners are also expected to participate as the deal nears closure.
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8. Citykart has raised ₹538 Cr ($63 Mn) in a Series B round led by TPG NewQuest and A91 Partners, marking a major boost for India’s value fashion space. The deal included ₹120 Cr in fresh capital, with early investor Investcorp making a full exit.
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