Appi Reddy was born and raised in a farming household in the rural areas of Telangana. He was born on August 1, 1980, to Venkateshwar Reddy, a farmer, and Akkamma, in Dondapadu village, Suryapet district. The oldest child of the couple, he has two other siblings named Venkatappa Reddy and Lakshmi. The entrepreneur studied at the local government high school in Dondapadu till the eighth standard and completed his ninth and matriculation at Kodada nearby.
He later shifted to Hyderabad (then the capital of joint Andhra Pradesh and Telangana) for his higher studies. Appireddy graduated from Osmania University (OU) with a Bachelors in Computer Science (B.Sc.) degree in 1999, and subsequently completed his Masters in Computer Science (M.Sc.) in 2002 from OU.