Harsh Jain, Dream Sports’ co-founder and CEO of Dream11, stated that there won’t be any layoffs even though the company has switched to free-to-play games after the government outlawed online gaming that requires payment.
Harsh Jain’s Assurance: No Layoffs at Dream Sports
According to him, Dream Sports has enough cash on hand to last for years and depends on a high internal demand for talent across all of its channels. In an August 25 interview with Moneycontrol, Jain stated that the company had no intention of making any layoffs.
This place is safe for all the talent. He went on to say that the business wants to use this talent to help us get out of this predicament. Developing new items that you can sell later is the only way to cope with 95% of your money being lost. Talent will always be the first step.
Commenting on the development, Kabir Kochhar Founder & Managing Partner, Audacity Venture Capital stated, “Regulation not prohibition, was the need of the hour. This decision impacts the economy in many ways, the first of which is on the unfortunate employees, founders, investors, and service providers. Nobody is questioning the spirit of this decision. You cannot outlaw something that has entrenched consumption behavior. We know for a fact that the underground illegal economy around betting is many times the size of the regulated and burgeoning legal RMG industry. Expect this unscrupulous underbelly to thrive.”
“VC confidence is yet again shaken. Regulatory risk is something most VCs account for in their decision-making matrix. Investor expectations were around higher taxation and clarity on the distinction between games of skill and games of chance. These are the two issues on which the highest courts of the land are yet to issue a judgment. The taxation itself implied a tacit understanding and a regulation-based approach. However, VCs will survive. It is the nature of the game. Founders unfortunately will be the hardest hit, as usual,” he added further.
Pivot to Free-to-Play Fantasy Sports in India
Dream11 is now concentrating only on free-to-play online social games after suspending all paid competitions on its fantasy sports platform on August 22. India’s new gaming law, which prohibits online money games where participants deposit money in the hopes of winning rewards, served as the impetus for the decision.
How India’s Online Gaming Ban Impacts Dream11
Notably, the investigation stated that these cash-based competitions, which are currently unlawful, accounted for 95% of the company’s current income and all of its earnings. According to Harsh Jain, Dream Sports is still experiencing a high internal demand for talent across all of its current businesses, which include the fintech venture Dream Money, the mobile game development unit Dream Game Studios, the sports experiences platform DreamSetGo, and the sports content and commerce platform FanCode.
Additionally, he stated that the company plans to develop new items in the future due to the increasing demand for them. Jain went on to say that the Mumbai-based business has enough cash on hand to support its employees and operations for a number of years, which he believes is more than enough. Compared to INR 3,841 crore in FY22, Dream Sports reported operating revenue of INR 6,384.49 crore for FY23.
Future of AI in Fantasy Sports and Fan Engagement
The company plans to concentrate all of its future efforts on artificial intelligence (AI)-based sports prospects in India, with a special focus on the creator economy.
According to Jain, the business offers sports performance, analytics, fan interaction, sports content, and products. Artificial intelligence is going to change all of this.
The company may now devote its 500 engineers to resolving these issues. “To address these issues for Indian sports fans, we will begin anew,” he continued.
Quick
Shots
•Dream Sports CEO confirms no layoffs despite 95%
revenue loss.
•Dream11 suspends all paid fantasy
sports contests after India’s online gaming ban.
•Cash-based games, which made up 95%
of revenue, now prohibited.
•Jain emphasizes talent will help
build new products and future growth.
The startup industry in India is growing faster than we could have imagined. They are now paving a new way for the future of India. Some popular startups that caught the eyes of everyone in the past few years are Zomato, BYJUs, Nykaa, and more. These are living proof of the evolution of startups in India.
These startups have been able to provide solutions to many of our problems. Along with this, they have been able to make huge progress for themselves as well. The startups in India are now generating a great amount of revenue and an increase in terms of their valuation.
The last two years have been full of ups and downs. The time has been mixed with old and new ideas. Many businesses could not cope well during the pandemic. On the other hand, many were able to reach their prime time. The Indian startup industry has grown in the past two years like never before. Startups like BYJU, Zomato, Nykaa, and more made India proud by entering the unicorn club.
Thanks to technology, continuous innovations, and passion for entrepreneurship, India is now the third-largest home for unicorn startups in the world with almost 100+ unicorn startups already established and many more are on the way to becoming unicorn startups.
Startups in India can secure a strong foot in India now due to new terms and policies installed by the government as well as the development faced by the Indian startup ecosystem. The startups in India have become the most potential eye-catchers for investors. With great funding at proper times, startups have been able to progress at a faster pace.
Here is the list of all Indian Unicorn Startup with their revenue, profit, and valuation:
Nykaa’s CEO and Founder Falguni Sanjay Nayar- StartupTalky
It is an Indian e-commerce platform launched in the year 2012 by Falguni Nayar. The company sells its products through three channels- website, app, and offline stores. It offers a wide variety of beauty, wellness, and fashion products.
Nayar made her company the first Indian unicorn startup led by a woman in 2020. The Firm Nykaa has revenue of INR 2,440 crores, in 2021. It has also announced revenue of INR 3,773 crores FY 2022.
This year in Q2 FY23, Nykaa’s net profit has reached 344% Y-o-Y to Rs. 5.2 crore. The company has also reported a 39% increase in its revenue which is Rs.1230 cr.
2. Swiggy
Revenue: INR 2,547 Crores in FY2021
Swiggy’s CEO Sriharsha Majety- StartupTalky
It is an online food ordering and delivery platform based in India. The Swiggy startup was started in the year 2014. The platform’s services are active in more than five hundred Indian cities like Delhi, Mumbai, Jaipur, etc.
The platform has taken a tech approach to handle logistics and provide solutions to customer demands. Swiggy generated revenue of Rs. 2,547 cr in FY21. This number was a 23% drop from their previous financial year 2020.
3. Zomato
Revenue: INR 4192.4 crore in FY2022
Zomato – A food delivery startup
It is an online food ordering and delivery company founded in the year 2008. From menus to reviews the platform provides you with all the information about its partnered restaurants and gets your delicious food delivered to your doorstep.
It was the first Indian startup to make its debut in the stock market. The Zomato Unicorn is considered one of the most successful startups in India with a revenue of INR 4192.4 crores, in Financial Year 2022. It has also announced its gross order value of INR 5,500 crores in Q3 FY 2022.
The above graph shows India’s Unicorn surge with its aggregate valuation.
4. BYJU’S
Revenue: INR 3,039.45 Crores in FY 2022
BYJU’S – The ed-tech startup
It is a global ed-tech startup founded in India in the year 2011. The platform is known to provide adaptive, engaging, and effective learning solutions to its students around the world. Online coaching has the school’s curriculum as well as training for exams like JEE, IAS, GRE, etc.
This education startup earned the status of the 13th largest unicorn in the world as per CB insights in December 2021. The startup BYJU’s had revenue of INR 3039.4 crores as of FY 2022.
5. Paytm
Revenue: INR 4,846 crores in FY 2022
Paytm – The Financial service providing startup
It is an Indian multinational technology startup that provides a digital ecosystem for consumers and merchants. Paytm was founded in the year 2010. The company offers payment services, commerce and cloud services, and financial services.
It enables users to make quick and safe UPI payments, book movie tickets, EMI payments, and more. This top Indian startup has a revenue of INR 3,187.6 crores for FY21. It has also generated revenue of INR 4846 crores in FY2022.
OYO – A full-stack technology providing a global platform startup
It is an Indian multinational online travel agency for homes and hotels. It was founded in the year 2012. The OYO platform offers hotel rooms at affordable rates all across South Asia. It also offers services like complimentary breakfast services, holiday packages, rewards, etc.
The platform has made travel experiences for people easy and reasonable. It has a revenue of INR 4,157 crores, in 2021.
7. Udaan
Revenue: INR 8450 Crores in FY 2022
Udaan – A trade processing startup
It is a network-centric B2B e-commerce platform founded in the year 2016 in India. The startup helps traders, manufacturers, and wholesalers to connect directly in one place. Udaan startup also facilitates secure payments and smooth logistics.
Udaan has been successful in solving the problems of trade for businesses across India. It has a revenue of INR 5,919 Crores in FY 21. However, in FY22 Udaan has shown Rs.8450 cr in revenue with a loss reaching Rs.3030 cr which is 22.1% more compared to the FY21 loss of Rs. 2482.
8. Digit Insurance
Revenue: INR 5,268 Crores in FY 2022
Digit Insurance – An insurance-providing startup
It is an operator of an insurance brokerage firm founded in the year 2016 in India. The Digit Insurance company offers insurance for commercial and non-commercial vehicles, property, and travel.
Digit Insurance is one of the leading insurance companies in the nation enabling clients to make informed decisions and get themselves insured. It has a revenue of INR 5268 crores in FY22.
9. PharmEasy
Revenue: INR 4363 Crores in FY21
Pharmeasy – The online drug/medicine delivery startup
PharmEasy is an Indian e-pharmacy startup, founded in the year 2015. PharmEasy sells medicine and healthcare products, along with that it also connects local clinics to medical stores for health equipment supply.
In order to expand business PharmEasy has started connecting doctors to patients online and jumped into Lab testing operations now. Though PharmEasy total revenue has increased 48% to Rs 6,461.1 crore in FY22 from Rs 4,363.2 crore in FY21.
But it’s a loss that has been widening. The company has now started to take steps to make it profitable in the coming years despite having fierce challenges from its competitors.
10. Dream11
Revenue: INR 2,554.4 Crores for FY2021
Dream11 – A fantasy sport startup
It is a fantasy sports platform based in India, founded in the year 2008. Dream11 startup enables users to play fantasy sports like cricket, kabaddi, hockey, basketball, and football.
This has been the first Indian gaming company to become a unicorn. The gaming startup has revenue of INR 2554.4 crores for the Financial Year 2021.
Conclusion
The startups in India have seen massive growth in the past decade. Many startups were able to attain the status of unicorn in recent times making India the third-largest hub for unicorn startups in the world.
India has always been famous for its successful talent in technology, medical fields, and more. Now, the nation is shining bright with its batch of growing startup industry.
FAQs
What is a Unicorn company in India?
A unicorn company stands for the term for any privately owned company having a value of more than $1 billion.
Which city has the most startups in India?
At present times, the city of Bengaluru claims the position of the Indian city having the most number of startups in India.
Is BYJUS profitable?
No, the ed-tech platform BYJUS is highly appreciated for the introduction of a new concept in the world of education. It is counted among the most profitable unicorn in India.
Are Indian unicorns profitable?
India contains more than 100 unicorns on its record. However, not every unicorn is counted as a profitable company. It is estimated that out of 100 only 18 unicorns are profitable.
Which is the biggest startup in India?
India is home to many valuable startups. Some of the biggest startups in India are Urban Company, Paytm, Classplus, Razorpay, etc.
