Eternal, the parent company of Zomato, has spun off its 1.5-year-old AI platform Nugget into a stand...
The AMW Read
The spin-off is an incremental update to a known trend of consumer internet companies commercializing internal AI tools, with no major disruption to the existing player map.
Eternal, the parent company of Zomato, has spun off its 1.5-year-old AI platform Nugget into a standalone enterprise AI business. Nugget, which started as an internal tool for Zomato's customer support and sales, now sells conversational AI, voice assistants, workflow automation, and agentic AI solutions to external enterprises. The platform generated ₹7.2 crore (about $860,000) in FY26 revenue and is cash-flow positive, closing one enterprise deal per week on average with zero marketing spend. Its customers include large private banks, insurance companies, retail brands, D2C businesses, manufacturing companies, e-pharmacy platforms, and even Swiggy, Zomato's biggest food delivery rival.
This spin-off reflects a broader trend of consumer internet companies converting in-house AI capabilities into standalone enterprise software businesses. Paytm has outlined plans to embed AI across merchant services and financial products, while Razorpay has launched Agentic Commerce and Agent Studio, betting on autonomous AI agents for merchants. Eternal's move validates this playbook, showing that operational AI expertise built for consumer platforms can be productized and sold to other enterprises. The fact that Nugget has already landed Swiggy as a customer signals that the product is competitive beyond its parent's ecosystem.
For builders and investors, Nugget's trajectory offers a concrete lesson: vertical AI products born from real operational pain can achieve product-market fit rapidly without heavy marketing. The cash-flow-positive status and steady deal flow suggest that enterprise AI demand in India is strong, especially in banking, insurance, and retail. This could prompt more consumer tech companies to spin off their internal AI tools, intensifying competition in the enterprise AI space. Investors should watch for similar spin-offs from other large platforms, as they may offer attractive opportunities with proven use cases and existing customer traction.