Krutrim pivots to cloud services pausing model development
krutrim, india's first genai unicorn, shifts focus from ai model development to cloud services following a late 2025 restructuring. the startup paused chip design efforts, cut over 200 roles, and pulled its assistant app. krutrim reported $31.5m revenue for fy26 with profits, citing demand from 25 enterprise customers for gpu compute.
Krutrim is pivoting from foundation model development to cloud services and GPU compute infrastructure. The strategic shift, announced Tuesday, follows a business overhaul in late 2025 that saw the startup pause chip design efforts, lay off over 200 employees, and remove its consumer assistant app from app stores. The company reported ₹3 billion ($31.52 million) in revenue for financial year 2026, claiming a threefold increase and its first annual net profit.
While Krutrim declines to specify its revenue mix, analysts note that previous reports indicated heavy reliance on internal Ola ecosystem transactions. The company currently serves 25 enterprise customers across telecom and finance, with most GPU capacity committed to external workloads. This move contrasts with domestic rival Sarvam, which continues to release open-source models and partnerships, highlighting the divergence in India's AI landscape.