Flam, a company specializing in artificial intelligence (AI)-based interactive content, has successfully raised $40 million in a Series B funding round. QED Investors led this round. Other investors joining the deal include Claypond Capital, Martin Chavez, Olivier Pomel, Venky Harinarayan, and Shahrukh Khan, while existing investors RTP Global and Dovetail increased their stakes.
The capital raised will be used by the company for research and development of its proprietary AI models, expanding its product range, and scaling sales to corporate clients worldwide.
Flam reported that it has secured over one hundred contracts with major corporate clients in the last six quarters, including Google, State Farm, and Diageo. These clients utilize the company's services for various purposes such as marketing, product visualization, learning and development, entertainment, fan engagement, customer support, and sales.
Shurya Agarwal, founder of Flam, noted that the company is built on a simple observation: content has evolved in waves—from text to images, and then to video, with each wave moving from creator to viewer. He believes that interactivity will become the next standard for the internet.
Agarwal added that demand has always existed, but the technology to satisfy it was missing, and the Flam team has made creating and implementing interactivity simple to execute at an enterprise scale.
Flam holds over 15 patents and offers three content formats. Among them, Flicks are interactive videos that can change a person, product, or scene mid-playback. The Forge editing model allows modification of only the specified element using image samples. Airboards are high-quality 3D content on a camera interface, supporting haptic, voice interaction, and feedback. Visual Agents are humanoid characters capable of conducting dialogues and performing agentic actions.
Nigel Morris, co-founder and managing partner of QED Investors, commented that most companies working in the advanced AI content space focus on optimizing existing solutions. However, Flam has focused on an untouched part of the content ecosystem, and Morris noted that this gap is larger than many assume, and Flam is the first team with the infrastructure to work in this area.


