Over-the-top platform The Viral Fever (TVF) has raised ₹41 crores ($6 million) from existing investor Tiger Global, a New York-based investment firm. TVF has raised the funds at an estimated post-money valuation of ₹270 crores ($40 million), according to the sources. It remains unknown if this funding is part of a larger funding round.
The current valuation of the platform at ₹270 crores is considerably lower than its previous valuation at ₹419 crores ($61 million) when it raised nearly ₹68.7 crores ($10 million) from Tiger Global in February 2016.
TVF, owned and operated by Contagious Online Media was founded in 2010 as an online YouTube channel by Arunabh Kumar. It content generated by TVF was aimed at the younger generation that did not watch entertainment television at large.
TVF has produced content ranging from various topic including politics, movies, lifestyle, and emerging social concepts. TVF is one of the pioneers of the culture of web series in India. Some of its popular content includes TVF Pitchers, Permanent Roommates, among many others.
The content on the platform has been categorized under different channels like The Viral Fever, The Timeliners, The Screen Patti, and Girliyapa to cater to different audiences. It claims to have a combined subscriber base of over 10 million. TVF is available across YouTube, website and an Android & iOS app to serve as an OTT content platform.
So far the content available on the platform is free of cost and it generates revenues through marketing and advertisements streams associated with its content viewership.
Also in news last year, Arunabh Kumar had to step down as TVF’s CEO following accusations of sexual harassment from a former employee.
TVF faces competition in the OTT space from its rivals All India Backchod (AIB), and East India Comedy (EIC), focused on humor and satirical content. While other big players in the space include Voot and Hotstar.
With the entry of Amazon Prime Video and Netflix in India, the competition is only going to get more fierce.