Edtech firm ByteXL raises $9 million in funding round led by Elevar Equity

B2B edtech startup ByteXL raised $9 million in a series B funding round led by Elevar Equity, with existing investors Kalaari Capital and the Michael & Susan Dell Foundation also participating, as the company looks to expand its presence across India and invest in AI-led learning tools.

The company currently works with about 60 colleges in 10 states and has 200,000 students on its platform, cofounder and chief executive Karun Tadepalli told ET. It aims to increase these to 500,000 students and 120 colleges in 15 states over the next two years.

The company plans to use the funds to enter new markets, invest in its technology platform and expand its educator network. It is looking to expand into Odisha, Karnataka, Madhya Pradesh and Uttar Pradesh.


A key area of investment will be AI-enabled learning. We are investing heavily on the product, specifically in something like an AI coach/mentor,” Tadepalli said. The company is also integrating generative AI tools such as Claude and working on agentic AI for student learning, he said.

The Hyderabad-based startup, founded by brothers Sricharan and Karun Tadealli in 2020, last raised $5.9 million in a Series A funding round in July 2024, led by Kalaari Capital. The company is already profitable at the Ebitda level and expects to break-even at the net level this year, Tadepalli said.