Lumikai led $600K Pre-seed funding raised by AI-driven product co-creation startup Demoverse
Bengaluru-based AI-driven product co-creation startup Demoverse has secured $600K in pre-seed funding. Lumikai, a venture capital firm focused on gaming and interactive media, led the round with a $500K investment through its Pixels programme. Marlan, a UAE-based deep-tech investor-operator, and several angel investors also participated.
Founder Akshay Mehta said the new capital will be used to grow Demoverse’s design community, strengthen its consumer-facing product and support its expansion into the US.
Founded by Mehta earlier this year, Demoverse is developing a platform that brings consumers into the product creation process alongside brands. Rather than relying on customers only to provide feedback once a product is ready, the startup enables communities to participate in designing and developing products with the help of AI-based tools.
“Brands will float a concept to their community, and the community will then co-create on top of it,” Mehta said.
Demoverse said its platform brings together AI-generated concepts, consumer preferences and community participation to help brands determine which designs receive stronger validation from potential customers. The company is positioning the model as a way to reduce uncertainty related to product development and inventory planning.
The startup intends to build its revenue model around three sources. Brands will initially pay campaign fees to conduct product-design and co-creation initiatives. The second revenue stream will come from commerce, while the third will target highly engaged users through paid participation in larger design challenges and contests across different categories.
Fashion is Demoverse’s starting point, but the company intends to move into beauty, cosmetics and interiors before eventually extending the model to other physical products, including automobiles and buildings, Mehta said.
Demoverse currently follows a B2B2C model and has completed around seven closed trials with Indian brands. At the same time, the startup is developing a consumer-facing application alongside its enterprise business.
Lumikai founder and managing partner Salone Sehgal separately confirmed during the interaction that the firm intends to launch its third fund next year.
India’s consumer co-creation space is developing at the intersection of D2C brands, community-driven commerce, the creator economy and product innovation. Mumbai-based teen self-care brand Sammmm recently raised Rs 10 crore ($1.2 million) in seed funding in a round led by Fireside Ventures, with Sauce VC and angel investors participating. BCT Ventures, an AI-native consumer brands platform launched in July 2026, also raised Rs 42 crore in seed funding led by 3one4 Capital.
