US based startup incubator Y Combinator has invested in smart SMS app Kyte.ai, as a part of its summer cohort.
Mumbai-based Kyte is a smart SMS app that blocks spam and automatically organises the users inbox.
It is intended for the Indian market where SMS is the primary mode of communication for finance and commerce transactions and 60% of messages are spam. SMS alerts usage in India has exploded over the last three years and spam remains an unsolved problem, said Ravish Naresh, cofounder of Kyte.ai. Naresh was one of the cofounders of Housing.com.
Y Combinator invests $120,000 in startups for a 7% equity across two batches every year.
Kyte uses artificial intelligence to organise the SMS Inbox. The algorithm works offline and blocks the spams. The company launched two months ago and has crossed 100,000 downloads.
Kyte is attacking a problem that we dont see in the US, but is prominent in India. We are excited to work with them because they have a strong, technical founding team with great product design instincts, said Tim Brady, partner, Y Combinator.