Digitap.AI: Nageen Kommu is Unlocking Credit for India’s "Next 500 Million" with Alternate Data AI
For decades, the Indian banking system focused on the "Top 100 Million" earners—people with established credit histories and steady salaries in major metros. But for the remaining 1.2 billion people, particularly the 500 million living in Tier 3 and Tier 4 cities, the lack of a "Bureau Score" meant being invisible to formal credit. Nageen Kommu, Founder of Digitap.AI, is changing this narrative. By leveraging AI and Machine Learning to analyze "alternate data"—everything from device patterns to digital consumption—Nageen is building the digital infrastructure that allows banks and fintechs to say "yes" to millions of previously unbanked Indians.
A dual-discipline expert with an engineering background from NITK Surathkal and an MBA from IIM Ahmedabad, Nageen’s journey to fintech was paved by a career in telecom networks and management consulting at EY. On the ELI Podcast, he shares how he pivoted from a sports engagement startup to founding a bootstrapped, profitable B2B SaaS powerhouse that is now driving 25% month-on-month growth.
The Credit Invisibles Problem
Traditional banks evaluate loans based on bureau scores (CIBIL). However, you only get a score after taking credit. This creates a "Chicken and Egg" problem for 500 million Indians. Digitap.AI breaks this cycle by providing Alternate Data Underwriting, using non-bureau signals to assess risk accurately.
From 4G Networks to Global Consulting
Nageen’s professional life began at Lucent Technologies (later Alcatel-Lucent), where he spent five years as a software engineer developing 3G and 4G networks. This technical foundation was followed by two years at IIM Ahmedabad, where he realized his strength lay in being a "generalist."
He spent the next six years at Ernst & Young (EY) as a management consultant, advising C-suite executives in the Telecom, Media, and Technology (TMT) sectors across the US, Middle East, and Asia Pacific. "Consulting was fascinating because one day you’re on a financial project, and the next you’re on revenue enhancement," Nageen recalls. It was this bird’s-eye view of how businesses operate that eventually gave him the itch to build one himself.
The Pivot: From Sports Passion to BFSI Reality
Nageen’s first entrepreneurial plunge was Dribl, a sports-tech platform aimed at personalizing the experience for sports fans through AI. "I'm extremely passionate about sports—Roger Federer, Ferrari, Manchester United," he says. But Dribl, being a pre-revenue B2C venture, struggled to raise capital in an ecosystem that didn't fully understand the business of sports.
When Dribl ran out of money in 2019, Nageen faced a critical decision. Instead of giving up, he looked at his team’s core competency: AIML and data analysis. He pivoted from B2C sports to B2B fintech, founding Digitap.AI. "If you focus on revenue first, B2B is a much better bet than B2C," he notes. This time, he didn't just build for a hobby; he built for a massive market gap.
The Digitap.AI Solutions Stack
- Digital Onboarding Suite: OCR for PAN/Aadhaar, Video KYC, and Identity detection using facial recognition.
- Alternate Data Aggregation: Collecting non-bureau data from device financial SMS, social media profiles, and Telecom networks.
- Propensity Modeling: Using ML to provide a credit score based on behavioral patterns and bank statements.
- Fraud Detection: Verifying documents against central repositories like NSDL and UIDAI in real-time.
Decoding the "Below 750" Segment
The core value proposition of Digitap.AI is its ability to find reliable borrowers in segments that traditional banks discard. "Every bank targets the same set of customers with scores above 750," Nageen explains.
By analyzing financial behavior over the last six months—rather than a lifetime credit history—Digitap enables lenders to start with small-ticket loans and grow with the customer. This speed and agility are crucial for serving the "Next 500 Million" which requires processing 10 times the volume of traditional metros.
Bootstrapped and Profitable: The Frugal Edge
Starting Digitap.AI just months before the pandemic, Nageen faced immediate turbulence. Initial clients stopped business in March 2020, and revenue didn't return until late that year. This "painful time" taught the company to be extremely frugal.
Today, Digitap.AI remains bootstrapped and profitable, with an annual revenue run rate of over ₹28 Crores. They serve 200+ organizations, including KreditBee, NAVI, and Bajaj Finserv. Their differentiation isn't just pricing, but a proactive support model. "Accuracy is a baseline," Nageen says. "Our edge is how proactively we customize our modular APIs to make the life of the B2B client better."
The Scale of Digital Trust
- Client Base: 200+ FinTechs, Banks, and NBFCs.
- Growth: Consistent 20-25% month-on-month growth.
- Modular Approach: 20+ specific API solutions for onboarding and underwriting.
- Profitability: Fully profitable and self-sustaining since 2021.
The Meaning of Entrepreneurship
Nageen defines an entrepreneur through a single word: Perseverance. He believes that while vision is important, the ability to stay at it for a decade, irrespective of downturns, is what separates successful founders.
Nageen's Advice for Founders
"Patience and perseverance are two different things. Perseverance is the ability to be at it even when you face upturns or downturns. You might raise $100 million today, but if you throw it away in 6 months, you've lost the long-term vision. Think in terms of a 10-year journey."
Building for the Future of BFSI
As the fintech industry moves toward total automation, Digitap.AI is positioning itself as the brain behind the "Instant Approval." With a focus on hiring hungry freshers who want to work on AI, Machine Learning, and NLP, Nageen Kommu is building a team that doesn't just process data—they process potential. In the next five years, his goal is to make alternate data the "new normal" for credit, ensuring that every Indian, regardless of their starting point, has a fair shot at financial growth.