Category: Startup

Startup Digest: DMI Group acquires ZestMoney, SoftBank fully exits Policybazaar, and more

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

PhonePe’s Indus Appstore could launch in India by March, says co-founder Akash Dongre

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The number of smartphone users in India is expected to exceed a billion by 2023. It is anticipated that by 2040, India will have 1.55 billion smartphone users, according to research firm Statista.

However, most smartphone users in India hail from Tier-II cities or lower in India and prefer to access the internet in their regional languages. The Indian language internet user base has grown from 42 million in 2011 to 536 million by 2021. According to Ken’s research findings, 9 out of every 10 new internet users in India are likely to be non-English speakers.

To cater to this growing segment, PhonePe announced the Indus Appstore, a homegrown Android-based mobile app store, which gives developers the option to list their apps in 12 Indian languages besides English.

Akash Dongre, Co-founder and CPO of Indus Appstore told CNBC-TV18 that end users can expect to see the app on their smartphones by March.

“We knew that people were going to use apps, but they were constrained in terms of discovering these apps in their local languages. Both locally developed and widely used advanced applications posed challenges for new language users in terms of discovery and download. We saw that as a problem and that’s when we started working on Indus Appstore,” Dongre said.

With the Indus Appstore, PhonePe plans to challenge the monopoly that the Google Play Store has held in the Android smartphone market with about 95% market share in India. This also comes at a crucial time when Google is facing a major setback in the country with its anti-competitive practices.

Dongre said that the industry, developers and original equipment manufacturers (OEMs) are all excited about the launch. “All the major app developers have shown interest and are uploading their applications on the platform. From gaming to content and food delivery, all major names coming on board,” he added.

In December, Indus Appstore announced that they have onboarded renowned leading game developers including Dream11, Nazara Technologies, A23, MPL, Junglee Rummy, Taj Rummy, Rummy Passion, RummyCulture, RummyTime, and CardBaazi.

The platform has also previously said that it will take zero commissions along with no listing fee for the first year, and a nominal fee thereafter. Developers will also have the choice to integrate any payment gateway of their choice inside their apps.

For context, other app stores like Google’s Play Store or Apple’s App Store impose fees ranging from 15-30% on in-app payments.

With a new app store locally developed for the ‘Bharat’ user, the OEMs will also have more freedom as to how they want users to use the apps on their smartphones and have a good experience. Post-launch, users will be able to find the Indus Appstore pre-installed on their smartphones and have the option to download it.

“Most (OEMs) feel that working with an Indian partner that can build a developer ecosystem and bring a large number of users will be beneficial for them from the monetisation perspective. We are seeing a lot of positive interest from OEMs also,” Dongre remarked saying that the platform has already signed a few OEMs and is in the process of closing some big names.

However, disseminating apps in the local languages is not the only way for Indus Appstore to reach its audience. The app store will also allow users to sign up using their phone numbers. The reasoning behind this, according to Dongre, is that most Indian smartphone users do not necessarily have an email ID.

“Most of the Tier-II or Tier-III users, which is the majority of internet users in India, do not have email addresses. That is one of the biggest reasons why a lot of internet users are not able to access the Google Play Store. They have a shopkeeper or someone in their family setting up a Gmail account for them and unfortunately, when they get locked out of it they’re not even able to use the app store,” he said.

Indus Appstore was officially launched on September 23 for developers. Its initial expansion phase is said to focus on building a substantial consortium of Android developers on the platform.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Indian govt urges unicorns to provide at least 30 minutes of mentorship per month to startups

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The Indian government has urged unicorns across India to provide at least 30 minutes of mentorship to budding startups via the government-backed MAARG Portal. Chairing a meeting with founders and representatives of unicorns, Commerce and Industry Minister Piyush Goyal exhorted them to voluntarily mentor the startup ecosystem to make it more robust and help achieve India’s target of becoming the largest host country for startup unicorns. 

Attended by representatives from over 40 startups and unicorns including Car Dekho, EasyMyTrip, Zerodha, Lenskart and Boat, the meeting witnessed the companies pitch for a better funding mechanism and lower rates of interest to increase their growth prospects. 

The discussed issues included navigation of risks for startups, sustainable growth, India’s positioning in the global startup landscape and mobilization of domestic capital for the larger startup ecosystem.

Goyal on Tuesday awarded DPIIT Startup Awards and the State Ranking Awards. In its fourth edition, the National Startup Awards (NSA) received 2,324 applications, 38% more than the applications in its maiden edition.

Around 58% of the current applications came from emerging Tier-2 and Tier-3 cities, while 40% of the unique startup winners were from emerging Tier-2 and Tier-3 cities.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Average number of years to become a unicorn falls from 8.4 years in 2022 to 5.5 years in 2023

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Early stage venture capital fund, Orios Venture Partners, on Wednesday, January 17, announced the release of its Indian Tech Unicorn and Exits Report 2023. The report brought forth the decline in the average number of years required for a startup to become a unicorn. From taking 8.4 years in 2022, to now taking only 5.5 years in 2023 shows the abundant support available in form of mentorship and capital for the founders.

India witnessed a total of only two unicorns in 2023 but continues to be the third largest nation with most number of unicorns.

Startups raised $8.2 billion in 2023, highlighting a 72% decrease in funding from 2022, having $25 billion raised. The number of Startups IPOs increased to 8 in 2023 compared to 4 in 2022.

The year also saw 123 acquisitions in 2023 as opposed to 229 acquisitions in 2022.

In 2023, the Ecommerce sector outpaced SaaS in terms of the highest number of funding rounds. The report highlights that 25% of unicorn founders are seasoned entrepreneurs with prior successes, contributing valuable expertise and experience to their ventures. Bengaluru maintained its status as the foremost Unicorn hub in India, with Delhi and Mumbai following closely behind.

Commenting on the report, Rehan Yar Khan, Managing Partner, Orios Venture Partners said, “Though 2023 saw only 2 Unicorns, we are excited to note how in the last 4 years startups are taking 5 to 6 years to get to Unicorn status vs 8 to 10 prior to that. That shows the market has become large. We also love how many Unicorns are profitable and in our conversation with several Unicorn founders, profitability was a big focus area. Both these factors point to there being a significant number of tech IPOs in 2024 and the years to follow.”

Some more key findings of the report are:

● The only two sectors that saw Unicorns emerge were Fintech and e-commerce (Incred and Zepto respectively.)

● There were 123 acquisitions in 2023 compared to 229 in 2022. Olx Autos acquired by Cartrade.com was the largest deal followed by Texts acquired by Automattic

● Zaggle, Mamaearth, IdeaForge are some of the startups that gained IPO status in 2023

● Edamama, Plix, Olx Autos, Goodera, Texts were some of the most prominent exits that took place in 2023

● 80% of Indian Unicorns are founded by Engineers. While 75% of Unicorns are founded by first-time founders

● Mensa Brands Took only 6 months to turn Unicorn in Nov ’21 after raising the first $50 Mn round in May ‘21. Five Star Finance is the slowest Unicorn so far, taking 37 years to achieve Unicorn status. A total of 44 startups became Unicorns in less than 5 years.

Launched in 2013, Orios Venture Partners invests in India-focused startups and businesses. Notable portfolio companies include Pharmeasy, Country Delight, Battery Smart, Beato, Karbon, Unnati, Ixigo, Mobikwik, CarDekho, Vedantu, and Zupee among others.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Kunal Shah-backed Anq unveils ‘X’ card which earns digital gold as rewards 

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Kunal Shah-backed banking platform Anq on Wednesday, January 17, announced the launch of a prepaid reward card, the X card powered by Rupay. The card empowers consumers to spend within their means while earning rewards in the form of digital gold and digital assets for each and every transaction, Anq said in a statement.

The X card is a chip-enabled, contactless prepaid card that provides users with an inter-operable and multi-purpose payment solution across the country.

The card can be availed by customers upon signing up on the Anq banking platform.

Users of the X card can earn rewards ranging from 1-16% on every spend, and the rewards are market linked and uncapped.

Popular brand vouchers are available on Anq’s shopping section giving as high as 16% in bounties. Customers can load their X card at any given point with maximum ₹2 lakh for spends.

Anq is a fintech company co-founded by Ashish Khandelwal, Abhinav AV and Swagat Sarma.

It is backed by angels, including Kunal Shah of CRED, Ashish Sharma of Innoven Capital and investors such as Snow Leopard Capital. Anq offers prepaid cards that provide users with rewards in gold and digital assets for their everyday spending.

Anq’s prepaid card services are available on merchants, including Swiggy, Zomato, Flipkart and Amazon, the company said.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Byju’s vs BCCI: Edtech wants an arbitrator to decide on ₹158 crore payment dispute

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Troubled edtech major Byju’s on January 17 revealed before India’s bankruptcy tribunal that it has moved an arbitrator to decide on the ₹158 crore payment dispute with the Board of Control for Cricket in India (BCCI). Byju’s also claimed that Insolvency and Bankruptcy Code (IBC) proceedings against it cannot be allowed to continue till the issue is decided by an arbitrator.

Byju’s claimed before the National Company Law Tribunal (NCLT) that it is in talks with the BCCI to settle the payment dispute. The cricketing body, however, denied and told the tribunal that no negotiations were underway and that it only heard about Byju’s intent to settle the case in media reports.

The NCLT hearing comes after BCCI sought an initiation of IBC proceedings against the edtech over alleged unpaid dues amounting to ₹158 crore under their sponsorship contract with the Indian cricket team. Earlier in December 2023, NCLT Bengaluru had classified it as a “high-profile” matter acknowledging the gravity of the dispute.

The bankruptcy tribunal has allowed BCCI to respond to Byju’s objection.

The matter will next be heard on February 7.

Byju’s had earlier requested additional time to formulate a comprehensive response to the BCCI’s plea as it contended that the matter was not a straightforward case of unpaid dues but a nuanced and intricate payment dispute. However, the BCCI maintained that the only complexity in this case was the non-payment of dues. The cricketing body also dismissed Byju’s optimistic outlook on the company’s financial standing.

Also Read | Byju’s fall from $22 billion to $1 billion: A blow-by-blow account

The dispute comes against the backdrop of Byju’s announcement in January 2023 that it would not renew its branding partnerships as it was looking to cut costs to achieve profitability as early as the next fiscal year.

At the time Byju’s had three large branding partnerships with the BCCI (Board of Control for Cricket in India), ICC (International Cricket Council), and FIFA (Federation Internationale de Football Association), which co-founder and CEO Byju Raveendran said the firm won’t renew.

Also Read: Byju’s founder Byju Raveendran pledges homes to raise funds for staff salaries

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Startup India celebrates milestone — Every second venture now led by women directors

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Startup India, the flagship initiative launched by the Government of India on January 16, 2016, has marked a significant shift in the startup landscape. The initiative, aimed at fostering innovation and cultivating a robust ecosystem for entrepreneurship, has not only propelled India to become the third-largest startup ecosystem globally but has also seen a remarkable rise in the involvement of women in leadership roles.

As per a report released by the Ministry of Commerce & Industry on Monday, January 15, a staggering 55,816 startups, representing 48% of the total 1,17,254 startups in India (as of December 2023), now boast at least one woman director.

This noteworthy statistic emphasises the impactful role women play in shaping the startup landscape.

Additionally, the number of recognised startups has surged from a mere 300 in 2016 to an impressive 1,18,320 as of January 14, 2024. This exponential growth underscores the success of Startup India in transforming the country into a hub for job creators rather than job seekers.

The geographical diversity of startup emergence has also been a key focus of Startup India. More than 50% of startups are now springing up from tier 2 and 3 cities, highlighting the initiative’s commitment to decentralising the startup ecosystem. This inclusivity not only strengthens the entrepreneurial fabric of the nation but also signifies the vast untapped potential in smaller cities.

Recognised startups have proven to be major contributors to employment opportunities in the country, having generated over 12.42 lakh direct jobs as of December 2023, the data revealed.

The remarkable growth in the number of recognised startups, coupled with the active encouragement of women’s entrepreneurship, the geographical diversity of startup emergence, and the significant contribution to job creation, collectively underscore the comprehensive impact of Startup India in shaping a vibrant and diverse future for the country’s startup ecosystem.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Nurturing small business innovation: Dell’s commitment and entrepreneur challenge

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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In the dynamic entrepreneurship landscape, innovation is the driving force, and Dell Technologies is at the forefront of advocating for this spirit. Within this universe, Dell recognises the pivotal role played by startups in shaping the future and actively supports their growth with a dedication that goes beyond products and partnerships.

The company exemplifies its commitment through the Dell Entrepreneur Challenge, a competition that empowers startups with a vital platform to showcase innovative solutions. This initiative not only offers exposure but also opens doors to mentorship and networking opportunities. Participating startups gain valuable resources and recognition, propelling their journey to the market.

In the run-up to the Dell Entrepreneur Challenge, Samriddhi Bhattacharyya, Country Head, Small Business Solutions, Dell Tech shared the vision for the competition in a candid interview with CNBC-TV18’s Gautam Srinivasan. Their discussion also delved into Dell’s efforts in enabling and mentoring small businesses, setting the stage for the upcoming Entrepreneur Challenge.

In India, the Micro, Small, and Medium Enterprises (MSME) sector, which consists of approximately 63 million enterprises, holds immense potential for driving economic growth. Frontrunners and aspiring enterprises amongst them are swiftly transitioning from traditional offline operations to embracing the online realm, as they appreciate the significance of technology in meeting their growth aspirations.

Samriddhi Bhattacharyya highlighted the opportunities in the startup space, which has been growing at approximately 7.2% per annum in recent times. Post-COVID, a wave of new-age start-ups has joined the MSME universe, with innovation fuelling their growth. The advent of technologies like AI and ML has provided these businesses with significant leverage, enabling them to scale up and tap into global markets.

However, in the Indian context, she pointed out that small and medium startups face challenges stemming from digital illiteracy. While they demonstrate a knack for finding economical solutions, access to digitisation becomes a key hurdle. Dell addresses this by serving as a reliable technology partner, offering tailor-made solutions and leveraging its experiences, which date back to 1984. The company provides mentorship within its ecosystem, featuring industry experts and in-house specialists who guide start-ups through the tech landscape.

Going further, Dell Technologies has launched various initiatives to facilitate entrepreneurs. For instance, ‘Dell for Startups’ entails a team of experts trained to help start-ups scale up, which offers mentorship sessions and workshops, to help startups identify challenges and overcome them, guiding startups through their journey. Dell also recognises the under-representation of women in the segment and addresses this through the DWEN (Dell Women’s Entrepreneur Network) for women in business. This program creates a supportive community, offering access to capital, tech resources, and fostering growth.

Other initiatives by Dell include the DWEN Dream Tech Challenge, Empower Hour, and TechTalks, to empower female entrepreneurs and envision additional innovations for their businesses. While it hosts contests to enable entrepreneurs to showcase their businesses, forge networks and gain better visibility, it also provides winners with the necessary technology and initial seeding to scale up their IT environments.

Dell aims to define the future with technology, working continuously with start-ups and innovative companies. The Dell Entrepreneur Challenge, which merges the DWEN Dream Tech Challenge and the Dell Startup Challenge, invites Series-A and pre-Series-A startups to showcase innovations and stand the chance to gain access to mentorship, networking opportunities, and tech investments.

The Dell Entrepreneur Challenge is a tangible demonstration of Dell’s role in shaping the future of technology and fostering entrepreneurship. This holistic approach by Dell is not merely a platform; it is a springboard driving progress and innovation for small start-ups across India. Summing up the initiative, Samriddhi Bhattacharyya remarked, “The Dell Entrepreneur Challenge equips businesses with the tools, experience, and expertise to transition to the next phase of growth, embodying Dell’s commitment to advancing human innovation.”

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Government to meet unicorns tomorrow to discuss growth trajectory, risks, capital mobilisation

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Union Minister for Commerce and Industry Piyush Goyal is slated to meet representatives from over 40 unicorns in New Delhi on Wednesday, January 17, to discuss the growth trajectory and plans of mobilisation of domestic capital for the larger startup ecosystem.

Car Dekho, EasyMyTrip, Zerodha, Lenskart, and boAT are among the companies expected to be present in the meeting, which will discuss issues such as navigating risks for startups, sustainable growth, and India’s positioning in the global startup landscape.

The meeting was preceded by the DPIIT Startup Awards and the State Ranking Awards, which were given on Tuesday by the minister. In its fourth edition, the  (NSA) received 2,324 applications, 38% more than the applications in its maiden edition.

Around 58% of the current applications came from emerging Tier-2 and Tier-3 cities, while 40% of the unique startup winners were from emerging Tier-2 and Tier-3 cities.

Maximum applications were received from startups in Maharashtra, followed by Karnataka, Tamil Nadu, and Uttar Pradesh, and 20% of startup applications nominated themselves with women in the leadership positions of their enterprise.

The current edition of the NSA witnessed applications from startups across 19 categories, with an introduction of category-wise applications across various sectors based on the response received in special categories (special categories in NSA 2022 were increased to 7 from 3 and 6 special categories in NSA 2020 and 2021, respectively).

While NSA applications were received from 23, 30, and 31 states and union territories in the 2020, 2021, and 2022 editions, respectively; NSA 2023 witnessed applications from all 36 states and union territories.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow