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Each month millions of Indians are coming online for the first time, making India the last great growth market for internet companies worldwide. But winning them presents its own challenges.

These users, most of whom live in small cities and villages in India, can’t speak English. Their interests and needs are different from those of their counterparts in large cities. When they come online, the world wide web that is predominantly focused on the English-speaking masses, suddenly seems tiny, Google executives acknowledged at a media conference last year. According to a KPMG-Google report (PDF) on Indian languages, there will be 536 million non-English speaking users using internet in India by 2021.

Many companies are increasingly adding support for more languages, and Silicon Valley giants such as Google are developing tools to populate the web with content in Indian languages.

But there is still room for others to participate. On Friday, a new startup announced it is also in the race. And it has already received the backing of Y Combinator (YC).

Lokal is a news app that wants to bring local news to hundreds of millions of users in India in their regional languages. The startup, which is currently available in the Telugu language, has already amassed more than two million users, Jani Pasha, co-founder of Lokal, told TechCrunch in an interview.

There are tens of thousands of publications in India and several news aggregators that showcase the top stories from the mainstream outlets. But very few today are focusing on local news and delivering it in a language that the masses can understand, Pasha said.

Lokal is building a network of stringers and freelance reporters who produce original reporting around the issues and current affairs of local towns and cities. The app is updated throughout the day with regional news and also includes an “information” stream that shows things like current price of vegetables, upcoming events and contact details for local doctors and police stations.

The platform has grown to cover 18 districts in South India and is slowly ramping up its operations to more corners of the country. The early signs show that people are increasingly finding Lokal useful. “In 11 of the 18 districts we cover, we already have a larger presence and reader base than other media houses,” Pasha said.

Before creating Lokal, Pasha and the other co-founder of the startup, Vipul Chaudhary, attempted to develop a news aggregator app. The app presented news events in a timeline, offering context around each development.

“We made the biggest mistake. We built the product for four to five months without ever consulting with the users. We quickly found that nobody was using it. We went back to the drawing board and started interviewing users to understand what they wanted. How they consumed news, and where they got their news from,” he said.

“One thing we learned was that most of these users in tier 2 and tier 3 India still heavily rely on newspapers. Newspapers still carry a lot of local news and they rely on stringers who produce these news pieces and source them to publications,” he added.

But newspapers have limited pages, and they are slow. So Pasha and the team tried to build a platform that addresses these two things.

Pasha tried to replicate it through distributing local news, sourced from stringers, on a WhatsApp group. “That one WhatsApp group quickly became one of many as more and more people kept joining us,” he recalls. And that led to the creation of Lokal.

Along the journey, the team found that classifieds, matrimonial ads and things like birthday wishes are still driving people to newspapers, so Lokal has brought those things to the platform.

Pasha said Lokal will expand to three more states in the coming months. It will also begin to experiment with monetization, though that is not the primary focus currently. “The plan is to eventually bring this to entire India,” he said.

A growing number of startups today are attempting to build solutions for what they call India 2 and India 3 — the users who don’t live in major cities, don’t speak English and are financially not as strong.

ShareChat, a social media platform that serves users in 15 regional languages — but not English — said recently it has raised $100 million in a round led by Twitter. The app serves more than 60 million users each month, a figure it wants to double in the next year.