Pocket Entertainment, the parent company of Pocket FM and Pocket Saga, has crossed $500 million in annualised revenue run rate (ARR), marking 70% year-on-year growth as the company expands its AI-led entertainment business globally.

Pocket FM, its flagship AI-powered audio drama platform, remains the primary driver of the company’s growth. The platform has also strengthened monetisation and user engagement, with revenue retention rising sharply from 44% to 76%.

The company said the gains reflect increasing adoption of AI across the entertainment value chain, including content creation, production, personalisation and distribution.

“AI fundamentally changes the economics of entertainment businesses,” said Harsha Kumar, Partner at Lightspeed. “Crossing $500 million in ARR, with a healthy bottom line, is a testament to that.”

Pocket FM is also seeing deeper engagement from its audience. Listeners now spend an average of 155 minutes a day on the platform, while 51% of weekly active users engage with the service daily.

The company’s expanding content portfolio is translating into a growing number of commercially successful franchises. According to Pocket Entertainment, 96 titles have each generated more than $1 million in revenue, with 13 of those titles crossing the $10 million mark.

Over the past year, Pocket FM has expanded into the UK, Germany and France, while broadening its catalogue across genres such as thriller and fantasy. The platform has also launched user-generated content in the US, increasing both the volume and diversity of stories available to listeners.

Strategic licensing and adaptation deals have added further depth to its catalogue. Among them is a collaboration with Disney Publishing APAC that brought 36 Marvel audio series episodes to Hindi-speaking listeners.

The company is positioning AI not only as a tool for improving production economics but also as a way to broaden the pool of entertainment creators.

“AI is creating an entirely new era of entertainment, one defined by an abundance of high-quality content, the rise of single-person studios capable of creating blockbusters, and experiences hyper-personalized for every individual,” said Rohan Nayak, CEO and Co-Founder of Pocket Entertainment.

Nayak said the company expects the next major entertainment franchises to emerge from creators outside traditional studio systems, with AI enabling stories to be produced faster, distributed globally, and tailored to individual audiences.