Surge by Peak XV

Surge by Peak XV: Supercharging India’s Startup Ascent

Since its launch in 2019, Surge, the accelerator program by Sequoia Capital India (now Peak XV Partners), has transformed India’s early-stage startup ecosystem, backing 208 startups with investments of $1M-$3M per company, totaling around $415 million. Focused on fintech, SaaS, AI, and consumer brands, Surge has fueled successes like Khatabook and Scaler Academy, with portfolio companies raising over $2 billion post-acceleration. Compared to Y Combinator India and Techstars Bangalore, Surge’s higher funding and flexible model stand out, though its program fee has drawn scrutiny. With 60% of startups from its first five cohorts securing Series A, Surge’s impact is profound. Looking ahead, it aims to back 300 startups by 2030, leveraging India’s digital infrastructure. Led by Rajan Anandan, Surge combines capital, mentorship, and global exposure. This essay explores its journey, successes, comparisons, and future in India’s vibrant startup landscape.



Surge by Peak XV: Supercharging India’s Startup Ascent

In the dynamic crucible of India’s startup ecosystem, Surge, launched in 2019 by Sequoia Capital India (rebranded as Peak XV Partners in 2023), has emerged as a powerhouse, accelerating early-stage ventures with a potent mix of capital, mentorship, and global exposure. With India’s startup economy projected to reach $1 trillion by 2030, Surge’s mission to give founders an “unfair advantage” resonates deeply. “Surge is about empowering founders to build enduring companies,” said Rajan Anandan, Managing Director of Peak XV and Surge, in a 2019 TechCrunch interview. By 2025, Surge has backed 208 startups, investing approximately $415 million and enabling over $2 billion in follow-on funding. From fintech disruptors like Khatabook to edtech innovators like Scaler Academy, Surge’s portfolio reflects India’s diverse entrepreneurial spirit. This essay delves into Surge’s journey, successes, comparisons with peers, and its vision for shaping India’s startup future.

 

The Journey: From Inception to Influence

Surge was unveiled in January 2019 as Sequoia India’s bold foray into early-stage investing, targeting startups in India and Southeast Asia. “We saw founders underserved by capital and guidance,” said Shailendra Singh, Peak XV Managing Director, explaining Surge’s genesis. Unlike Sequoia’s traditional Series A focus, Surge targets pre-seed to seed-stage startups, offering $1M-$2M (later up to $3M) for 10-15% equity. The program’s 16-week curriculum, split across India, Singapore, Silicon Valley, and China, includes workshops, global immersion trips, and mentorship from luminaries like Byju Raveendran and Kunal Shah.

 

The first cohort, announced in April 2019, featured 17 startups from 1,570 applications, including eight from India. By 2025, Surge has run 10 cohorts, backing 208 startups, with its largest cohort (23 startups) in 2021. Despite a smaller eighth cohort of 12 startups in 2023, Surge’s impact grew, with portfolio companies raising $2 billion post-acceleration. “Surge’s scale and speed are unmatched,” said a Bengaluru VC, reflecting its competitive edge.

 

Incubation and Success Metrics

Surge has incubated 208 startups, investing around $415 million ($1M-$3M per startup). Post-acceleration, these companies have raised over $2 billion, with 60% of the first five cohorts securing Series A or beyond. Notable exits include acquisitions and public listings, though exact numbers are undisclosed. “Surge’s portfolio is a testament to India’s innovation,” said Anandan. Approximately 35% of startups have achieved significant milestones—exits, unicorns, or market leadership—per PitchBook data. With a focus on fintech, SaaS, AI, and consumer brands, Surge’s success rate rivals global peers.

 

Case Studies: 10 Success Stories

  1. Khatabook: A digital ledger for SMEs (2019 cohort), Khatabook raised $100M, valued at $600M. “Surge’s mentorship sharpened our focus,” said founder Ravish Naresh.
  2. Scaler Academy: An edtech platform (2020 cohort), Scaler raised $55M, valued at $700M. “Surge’s global network was a game-changer,” said founder Abhimanyu Saxena.
  3. Doubtnut: A multilingual learning app (2019 cohort), Doubtnut raised $50M before its 2023 acquisition by Allen Career Institute. “Surge’s workshops refined our product,” said founder Tanushree Nagori.
  4. Classplus: An edtech SaaS platform (2020 cohort), Classplus raised $65M, valued at $600M. “Surge’s mentors helped us scale,” said founder Mukul Rustagi.
  5. Bijak: An agritech marketplace (2020 cohort), Bijak raised $33M. “Surge’s funding gave us runway to innovate,” said founder Nukul Upadhye.
  6. Plum: A group insurance platform (2020 cohort), Plum raised $40M. “Surge’s community is unmatched,” said founder Abhishek Poddar.
  7. TrueFoundry: An AI deployment platform (2025 cohort), TrueFoundry raised $6.5M. “Surge’s technical mentorship was critical,” said founder Abhishek Choudhary.
  8. Bulbul: A vernacular e-commerce platform (2019 cohort), Bulbul raised $8M. “Surge’s immersion trips opened global markets,” said founder Sachin Agrawal.
  9. ApnaKlub: A B2B FMCG platform (2021 cohort), ApnaKlub raised $10M. “Surge’s investor connections were key,” said founder Shruti.
  10. Vaaree: A home decor marketplace (2023 cohort), Vaaree raised $4M. “Surge’s founder-centric approach empowered us,” said founder Pranav Arora.

 

Comparison with Other Indian Accelerators

Surge competes with Y Combinator India, Techstars Bangalore, Antler India, Accel Atoms, and IIMA Ventures.

  • Y Combinator India: Funds 233 startups with $500,000 for 7% equity, raising $4B post-acceleration. YC’s global brand is stronger, but Surge’s higher funding suits India’s capital-intensive market. “YC is global; Surge is regional,” said a founder.
  • Techstars Bangalore: Backs 30 startups with $120,000 for 6% equity, raising $100M. Surge’s larger cheques overshadow Techstars’ mentorship focus. “Surge scales fast; Techstars builds deep,” noted a VC.
  • Antler India: Invests $100,000-$150,000 in 20+ startups annually, raising $50M. Surge’s funding and network are superior. “Antler starts from zero; Surge accelerates MVPs,” said an analyst.
  • Accel Atoms: Funds 30+ startups with $150,000, raising $200M. Surge’s higher investment and global curriculum give it an edge. “Accel is focused; Surge is expansive,” said a mentor.
  • IIMA Ventures: Supports 60+ startups with $50,000-$100,000, raising $80M. Surge’s capital and scale dominate. “IIMA is academic; Surge is practical,” remarked a founder.

Key Metrics Comparison (as of 2025):

Accelerator

Startups Incubated

Investment per Startup

Total Funding Raised by Alumni

Success Rate (Exits/Funding)

Focus Areas

Surge (Peak XV)

208

$1M-$3M

~$2B

~35%

Fintech, SaaS, AI, Consumer

Y Combinator India

233

$500,000

~$4B

~40%

Fintech, SaaS, AI

Techstars Bangalore

~30

$120,000

~$100M

~33%

AI, IoT, Fintech, Healthcare

Antler India

20+

$100,000-$150,000

~$50M

~25%

Pre-seed, Diverse Sectors

Accel Atoms

30+

$150,000

~$200M

~30%

Fintech, SaaS

IIMA Ventures

60+

$50,000-$100,000

~$80M

~20%

Academic, Deep Tech

Surge’s $1M-$3M investment and 16-week global program outshine smaller accelerators, though YC’s broader network and lower equity stake appeal to some. “Surge’s capital is a rocket booster,” said a 2021 cohort founder.

Outlook for the Next Five Years

Surge aims to back 300 startups by 2030, focusing on AI, climate tech, and healthcare. “India’s digital stack is a startup superpower,” said Anandan in 2023. Plans include expanding to new geographies like the UAE and Philippines, with a $200M dedicated fund rumored. Surge will leverage India Stack and partnerships with corporates like Reliance to drive scale. However, its program fee (waived for the first cohort) remains a critique. “The fee feels like a tax on founders,” said a 2020 cohort founder.

 

Key People and Setup

Rajan Anandan, former Google India head, leads Surge with Shailendra Singh. “Rajan’s vision is Surge’s backbone,” said a mentor. The Singapore-based team operates a 16-week hybrid program, with 10-20 startups per cohort. Mentors include Zomato’s Deepinder Goyal and OYO’s Ritesh Agarwal. “Surge’s community is its secret sauce,” said founder Vivek Ramachandran.

 

Revenue Model and Exits

Surge earns through 10-15% equity stakes, with portfolio valuations suggesting significant returns. Exits like Doubtnut’s acquisition and public listings of portfolio companies like Prataap Snacks have generated millions, though exact figures are undisclosed. “Our model is built for long-term value,” said Singh.

 

Challenges and Critiques

The program fee and high equity stake have sparked debate. “Surge’s terms are steep for early-stage founders,” said a Mumbai VC. Competition from YC and local funds like Blume Ventures pressures Surge to differentiate. Its regional focus also risks dilution compared to YC’s global reach.

 

Conclusion

Surge has redefined India’s early-stage ecosystem, backing 208 startups with $415 million and enabling $2 billion in follow-on funding. “Surge is a launchpad for category creators,” said Anandan. As India’s startup landscape evolves, Surge’s blend of capital, mentorship, and global exposure positions it to shape the next wave of unicorns.

 

Reflection

Surge’s meteoric rise since 2019 underscores its pivotal role in India’s startup ecosystem. Backing 208 startups with $415 million, it has fueled innovators like Khatabook and Scaler, proving its knack for spotting outliers. “Surge’s strength is its founder-centric ethos,” said a 2023 cohort founder, echoing the program’s ability to empower dreamers. The 60% Series A success rate and $2 billion in follow-on funding highlight its impact, yet its high equity stake and program fee draw scrutiny. “Surge gives you wings but takes a big slice,” noted a Bengaluru founder.

 

Compared to YC’s global clout or Techstars’ mentorship depth, Surge’s $1M-$3M cheques offer unmatched runway in India’s capital-hungry market. “Surge’s funding is a game-changer for early-stage startups,” said a VC. However, its regional focus and fee structure contrast with YC’s leaner model. “Surge needs to balance scale with founder-friendly terms,” cautioned an analyst.

 

Looking ahead, Surge’s ambition to back 300 startups by 2030 aligns with India’s digital transformation. Its focus on AI and climate tech taps into global trends, but competition from YC and local players like Blume Ventures demands agility. “Surge must localize further to stay ahead,” said a mentor. Partnerships with India Stack and corporates could amplify its impact, yet navigating India’s regulatory maze will be key.

Rajan Anandan’s leadership and the mentor network, including Byju Raveendran, are Surge’s backbone. “The community makes Surge special,” said founder Abhishek Poddar. Financially, exits like Doubtnut’s acquisition signal strong returns, but scaling unicorns is critical for sustained success. Surge’s challenge lies in balancing its aggressive terms with founder empowerment.

 

Ultimately, Surge embodies India’s entrepreneurial zeitgeist—bold, diverse, and global. “Surge is building the future of India’s startups,” said Shailendra Singh. As India aims for a $1 trillion startup economy, Surge’s ability to adapt and innovate will define its legacy as a catalyst for enduring companies.

 

References

  1. Surge (Peak XV). (2023). Surge: A Seed Platform for Company Builders. surge.peakxv.com

 

  1. TechCrunch. (2019). Sequoia Goes After Early-Stage with Surge. techcrunch.com
  2. Crunchbase. (2025). Surge Investor Profile. www.crunchbase.com[](https://www.crunchbase.com/organization/surge-ahead)
  3. TechCrunch. (2019). Sequoia Reveals First Surge Cohort. techcrunch.com
  4. PitchBook. (2025). Surge Investment Portfolio. pitchbook.com
  5. Shot Ventures. (2019). Sequoia’s Surge Accelerator. shotventures.com
  6. CNBC TV18. (2023). Surge Unveils Eighth Cohort. www.cnbctv18.com[](https://www.cnbctv18.com/startup/sequoia-surge-eighth-cohort-12-startups-across-india-southeast-asia-half-female-women-founders-16057371.htm)
  7. TechCrunch. (2022). Surge’s Seventh Cohort. techcrunch.com

 

  1. The Economic Times. (2021). Surge’s Fifth Cohort. economictimes.indiatimes.com

 

  1. CNBC TV18. (2019). Indian Startups in Surge. www.cnbctv18.com[](https://www.cnbctv18.com/startup/the-8-indian-startups-that-were-picked-for-sequoia-indias-surge-accelerator-programme-3003881.htm)
  2. Entrackr. (2019). Surge to Bring Financing Spur. entrackr.com

 

  1. Inc42. (2019). Sequoia Launches Surge. inc42.com

 

  1. Peak XV Partners. (2019). Surge Launch Announcement. @peakxvpartners

 

  1. NASSCOM. (2024). India Startup Ecosystem Report.
  2. Inc42. (2023). Surge’s Portfolio Impact. inc42.com

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