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Tag: #news

  • Rapido Plans to Extend Its Reach to 500 Cities

    Capital-rich transportation giant Rapido has revealed aspirations to grow from its existing presence in 120 locations to 500 nationwide. According to a statement from the firm, the growth plan will begin in February and be implemented progressively in several phases, with the goal of meeting the various transportation demands of its consumers. The startup’s initial rollout would focus on states like Karnataka, Gujarat, Tamil Nadu, West Bengal, and Rajasthan. After that, it would provide its services to other states, including Punjab, Haryana, Uttar Pradesh, and Uttarakhand. On the fringes of the 2025 Bharat Mobility Expo, the announcement was made. The schedule for carrying out the expansion plans is unclear, though. “Our expansion to 500 cities is a testament to our commitment to empowering individuals and building a more connected India,” said Pavan Guntupalli, cofounder of Rapido, adding that the platform has over 1.3 Cr captains (riders) earning over INR 15,000 Cr.

    Expansion Aligns With Recently Raised Funding

    After obtaining $200 million in its Series E fundraising round, led by current investor WestBridge Capital, which boosted the ride-hailing startup’s valuation to $1.1 billion, Rapido became a unicorn six months prior to the growth plan. Rapido claimed at the time that the investment will help the company grow its business throughout India. Rapido, which was founded in 2015 by Guntupalli, Rishikesh SR, and Aravind Sanka, mostly works in the auto and bike taxi industries. In December 2023, it launched a subscription model and entered the taxi services market. Additionally, it uses Rapido Local to provide peer-to-peer distribution services.

    Financial Dynamics of Rapido                                        

    According to the business, 3.6 million rides are made every day, and more than 200 million rides have been made in 120 locations so far. In the fiscal year 2023–2024 (FY24), Rapido’s operating revenue increased 46% year over year (YoY) to INR 648 Cr, while its net loss decreased 45% YoY to INR 371 Cr. The startup faces competition from established firms like Uber and Ola, as well as up-and-coming firms like Namma Yatri, which is supported by Google.

    Namma Yatri Has More Than One Crore Users

    Even as it expands into more recent Tier 2 and 3 cities, Uber’s rival Namma Yatri, an interoperable ride-hailing app on the government-backed Open Network for Digital Commerce (ONDC), has surpassed the milestone of 1 crore registered users. 7.49 crore journeys from various cities, including Bengaluru, Kolkata, Chennai, Kochi, Tumkuru, and other states, have been accomplished by the ride-hailing app. As a result, as of January 18, 2025, drivers earned a total of INR 1,206 crore. Beginning in Bengaluru in November 2022, Namma Yatri has spread to a number of states, including Tier II and Tier III cities like Asansol, Cuttack, Mysuru, Tumkuru, Siliguri, and Bhubaneswar.

    Droom Ventures into Car Rental with New Offering
    Droom introduces a new offering to step into the car rental industry, marking its latest move to diversify services.
    StartupTalkyNitin Konde

  • To Strengthen Cooperation on Cybercrime, India and the US Sign an MOU

    A memorandum of understanding (MoU) has been struck by the US and India to strengthen collaboration in cybercrime investigations. The MoU would enable the two nations to “step up” collaboration and training with relation to employing digital forensics and cyber threat intelligence for criminal investigations, according to a statement from the external affairs ministry (MEA). The home ministry and the Indian Cybercrime Coordination Centre (I4C) would be in charge of carrying out the Memorandum of Understanding on the Indian side. Conversely, the US side’s nodal agency will be the Homeland Security Investigations Cyber Crimes Centre, US Immigration and Customs Enforcement (ICE), and the Department of Homeland Security.

    Further Strengthening India-US Ties

    The security issues that India and the US share, including terrorism and violent extremism, financing of terrorism, drug trafficking, organised crime, human trafficking, illegal migration, money laundering, and transportation security, are intricately linked to cybercrime. “As part of our comprehensive and global strategic partnership, the MoU on cybercrime investigations will enable further strengthening of India-US security cooperation,” the MEA’s official statement stated. On January 17, Indian Ambassador to the United States Vinay Kwatra and Acting U.S. Deputy Secretary of Homeland Security Kristie Canegallo signed the agreement in Washington, DC.

    The action is anticipated to promote cybersecurity cooperation between the two countries, facilitate information exchange, and open the door for prompt inquiry in such situations. This comes days after the US, Japan, and South Korean governments jointly said that state-backed North Korean hackers were responsible for the $235 million hack at the Indian cryptocurrency exchange WazirX last year. Additionally, the development coincides with an increasing number of cyberattacks targeting Indian organisations and entities. In 2024, India became the second most targeted country in the world for cyberattacks, after the United States.

    Great Surge in Cyber Attacks in 2024: Prahar’s Report

    Across the first quarter of 2024, there were 500 million cyberattacks across the nation, according to a report by the nonprofit Prahar. In the second quarter of last year, there were about 750 million more attacks. AI and ML techniques have made cyber dangers worse by teaching machines to automate and improve hacks, making them more difficult to detect. Last year, there were several significant cyberattacks in India, including those at the state-run telecom company BSNL (278 GB of private user data was exposed), the broking platform Angel One (personal data of 7.9 million consumers was exposed), and WazirX (which affected 15 million users).

    The signing coincides with a change in leadership in the United States, making it a pivotal time. The signing of this agreement by the Biden administration demonstrates the growing significance of international cooperation in cybercrime investigations.

    Emerging Companies Tap Into Billion-Dollar Mahakumbh 2025 Opportunity
    Emerging companies seize the billion-dollar opportunities presented by Mahakumbh 2025, tapping into its massive economic potential.
    StartupTalkyNitin Konde

  • Nykaa Distributes More Than 56K Shares Through ESOP Plans

    More than 56,000 equity shares have been distributed to eligible employees of Nykaa, a significant player in the beauty and fashion industry, through a variety of employee stock option plan (ESOP) schemes. According to the company’s BSE filing, 56,750 equity shares have been approved by the nomination and compensation committee under the company’s employee stock option schemes. These equity shares are granted in accordance with the employees’ exercise of vested stock options under the company’s employee stock option schemes. On January 20, Nykaa’s shares were trading on the BSE intraday at INR 166.60, down 3.44%. Later in the day, though, the stock recovered some of its losses, and by 1:54 PM, it was trading at INR 170.95. This comes after broking firm InCred Equities began rating parent company FSN E-Commerce Ventures Ltd., a significant player in the beauty and fashion e-commerce space, as “reduce.”

    Nykaa Aiming Projecting Strong Growth in FY2025

    According to Nykaa‘s Q3 FY25 performance forecast, consolidated net revenue growth was expected to surpass the mid-twenties. Nykaa’s consolidated net profit increased by 66.3% to INR 12.97 Cr from INR 7.8 Cr in the same period last year, thanks to robust development in the beauty and personal care (BPC) vertical.

    Recent Happenings at Nykaa

    According to Nykaa’s Q3 FY25 performance forecast, consolidated net revenue growth was expected to surpass the mid-twenties. Nykaa’s consolidated net profit increased by 66.3% to INR 12.97 Cr from INR 7.8 Cr in the same period last year, thanks to robust development in the beauty and personal care (BPC) vertical. For a while now, Nykaa has seen a variety of activities. For example, Nihir Parikh, the CEO of Nykaa Fashion, resigned from the company in December as part of a significant top-level reorganisation.

    In a similar vein, the business said in November that it will aim for a delivery window of 30 minutes to 2 hours for a few in-demand beauty products, rather than concentrating on 10-minute deliveries. Additionally, it successfully acquired the majority of Earth Rhythm, a direct-to-consumer skincare and cosmetics brand. The company gave its employees 1.80 lakh equity shares under the Employee Stock Option Plan (ESOP) that same month.

    India’s Present ESOP Situation

    According to a 2024 survey of 160 companies, 78% of them offered employee stock option plans (ESOPs) to their staff, a considerable increase from 59% in 2021. This indicates that ESOPs are becoming more and more popular among startup owners. More firms are now offering ESOPs to all employees, not only senior management, according to a survey done by Saison Capital, XA Network, and Carta. Compared to one in four in 2021, one in three firms now provides these plans to all employees.

    Furthermore, the median ESOP pool size grew from 9% in 2021 to 12.6% in 2024, and 90% of founders now talk about ESOPs with candidates during interviews or job offers, up from 75% in 2021. Additionally, the reasons for providing ESOPs have changed; in 2024, 40% of founders cited cost reductions, up from 28% in 2021.

    The founders cited the necessity to retain people as the second most important reason for putting these plans into action, behind creating a sense of ownership and company culture. Even with this increase, fewer than 30% of founders still fully understand the complexity of ESOPs, a percentage that hasn’t changed since 2021.

    India Ranks Second Globally in Digital Skills for Future Jobs
    India ranks second globally in digital skills essential for future jobs, showcasing its readiness for the evolving workforce.
    StartupTalkyNitin Konde

  • Emerging Companies Capitalise on Mahakumbh 2025 Opportunity Worth Billion Dollars

    India, which is well-known for its rich religious traditions, rituals, and legacy, has seen a sharp increase in the number of spiritual tech businesses in recent years. Not to mention, the country’s lucrative spiritual industry, which is predicted to expand at a CAGR of 10% until 2032 from $58.56 billion in 2023, has fanned the aspirations of the country’s new-age businesses to enter this fray. An excellent illustration of this shift was seen last year with the consecration of the Ayodhya Temple, which not only boosted this sector but also caused spiritual tech entrepreneurs to rush to market with their products, resulting in double-digit growth.

    Mahakumbh to Give Another Shot in the Arm For Spritual Startup Sector

    The spiritual startup sector received a boost with the consecration of the Ayodhya Temple, but it is expected to receive another boost from this year’s Mahakumbh, which is taking place in Prayagraj after a 12-year break. The Mahakumbh, which draws millions of pilgrims from all over the world, is a magnificent fusion of faith, culture, and tradition that ends on February 26. Approximately its 45-day span, the Mahakumbh Mela 2025 is expected to bring in approximately INR 2 Lakh Cr for Uttar Pradesh, according to the Confederation of All India Traders (CAIT). Retail spending on necessities like food, housing, healthcare, and religious products is anticipated to account for about INR 17,310 Cr of this total. As a result, everyone has stepped up to claim their piece, from UPI titans like PhonePe and Paytm to food delivery companies like WAAYU and CHUK to spiritual tech platforms like Sri Mandir, VAMA, AppsForBharat, and Astrotalk.

    Mahakumbh: The Startup Valley’s New Eden

    As digital platforms grow in popularity and the significance of customer engagement increases, marketers are using this occasion to communicate with their customers in a variety of creative ways. While established companies like Dabur, HUL, and P&G have partnered with eateries to advertise their goods, some of them have even placed their products in baby care centres and women’s restrooms.

    Paytm is providing more ease with payment alternatives, along with cashback and incentive programs, while PhonePe has introduced insurance for pilgrims and unique QR codes to streamline financial transactions. In the meantime, Park+, a clever parking management business, is using AI to assist pilgrims in reserving spaces in advance for their cars. Additionally, the business is assisting them with EV charging stations, 24/7 security, and payments supported by FASTag. According to Park+ founder and CEO Amit Lakhotia, the company’s AI technologies will track parking fill rates, spot traffic jams, and guarantee smooth FASTag-enabled entry and exits.

    Churning Opportunities for MSMEs

    More than 50,000 small and medium-sized enterprises (SMEs) are benefiting from the Mahakumbh, which is helping to establish the festival as a major economic engine while also supporting local vendors and craftspeople. For example, Prashant Sachan founded the firm AppsForBharat, which has made spiritual trips available to everyone through its app, Sri Mandir.

    Manipal Health Prepares $1 Billion IPO Backed by Temasek
    Manipal Health, backed by Temasek, is planning a $1 billion IPO and has begun seeking banker presentations to move forward.
    StartupTalkyNitin Konde

  • Manipal Health, Financed by Temasek, Plans a $1 billion IPO and Requests Banker Presentations

    According to a media report, Temasek-backed hospital network Manipal Health Enterprises Ltd. has requested banker presentations for an anticipated $1 billion IPO, valuing the company established by Ranjan Pai at more than $7.5-8 billion. The report further stated that the bankers have been requested to make official proposals early next month with the goal of taking the company public over the course of the next 12 months.

    A secondary offer for sale (OFS) and a “large” primary capital raise will probably be part of the IPO. Although the company does not require funding right now, a main capital offering during the IPO will increase its financial cap for a significant purchase. Current shareholders will be reducing their ownership position in the OFS. The company will also be looking to raise primary capital. It’s also probable that some of the funds will be utilised to reduce debt.

    One of the Largest IPOs of Healthcare Sector

    Manipal Health, situated in Bengaluru, would rank among the biggest initial public offerings (IPOs) from the Indian healthcare sector on this scale if it proceeds with its listing plans. Aster and Blackstone-backed Quality Care announced their merger deal in November of last year. With over 10,150 beds, the reverse merger produced India’s largest publicly traded healthcare provider.

    In April 2023, Temasek paid over $2 billion to acquire a 41% share in Manipal Health, valuing the company at around $4.8 billion, or INR 40,000 crore. The Singaporean investor increased its ownership to almost 59% after purchasing shares from Pai as well as NIIF and TPG. About 31% of the business is still owned by Manipal Education and Medical Group Pvt. Ltd., while TPG owns 10% to 11%. In an effort to reduce the risk associated with its investments in the company, Temasek sold up to 8% of it to Mubadala Investment Company (Mubadala), Novo Holdings, and California Public Employees’ Retirement System (CalPERS) last year.

    Financial Outlook of the Company

    According to India Ratings & Research, the company’s sales in the first half of FY24 was INR 26.2 billion, with a consolidated EBITDA of INR 7.41 billion. An India Ratings study from November 2023 states that Manipal Hospitals’ consolidated revenue climbed from INR 40 billion in FY22 to INR 48 billion in FY23. According to the study, the company’s enhanced case mix and higher in-patient admissions at both its acquired and current facilities helped its consolidated EBITDA margin climb from 23.2% in FY23 to 26.6% in FY23.

    According to the report, the hospital company’s overall occupancy rates decreased to 58% in FY23 (compared to 64% in FY22) with a net increase of 283 beds, mostly in Whitefield, Goa, and Jaipur. The average revenue per occupied bed at the consolidated level increased by 14% year over year.

    Piramal Finance Partners with MobiKwik to Offer Personal Loans
    Piramal Finance collaborates with MobiKwik to provide seamless personal loans, enhancing financial accessibility for users.
    StartupTalkyNitin Konde

  • Piramal Finance and MobiKwik Collaborate to Provide Personal Loans

    MobiKwik, a recently listed fintech giant, has partnered with Piramal Capital and Housing Finance (Piramal Finance) to provide users nationwide with personal loans up to INR 2 lakh. According to a statement from the fintech startup, the agreement will allow MobiKwik users can apply for loans under the ZIP EMI plan using company’s app, with amounts ranging from INR 50,000 to INR 2 lakh. These loans are available to all MobikWik app users between the ages of 23 and 55 who earn more than INR 25K. The loan period ranges from six months to two years. The fintech major stated that it hopes to meet its clients’ various financial demands with its new product, which includes, among other things, travel, medical, and educational costs.

    Solving the Credit Issue of the Customers

    The collaboration between MobiKwik and Piramal Finance is a big step in meeting the credit needs of millions of Indians. According to MobiKwik cofounder and MD Bipin Preet Singh, MobiKwik, the company is confident in delivering a smooth user experience by fusing Piramal Finance’s financial services experience with its digital platform.

    These loans are available to those who earn more than INR 25,000, are between the ages of 23 and 55, and have a repayment period of six to twenty-four months. MobiKwik has eight arrangements in place to provide personal loans prior to Piramal Finance.

    About MobiKwik and its Latest Developments

    MobiKwik is a digital banking platform that was founded in 2009 by Bipin Preet Singh and Upasana Taku. It provides a variety of financial products and payment methods to consumers and merchants, including digital wallets, UPI, pocket UPI, and Zaakpay (payment gateway). With 167 million registered customers and a network of 4.4 million merchants, the firm bills itself as India’s biggest provider of digital wallets.

    Notably, MobiKwik was one of 13 cutting-edge tech firms to go public in 2024. The company’s shares were listed on the BSE for INR 442.25 each, which was 58.5% more than the IPO issue price of INR 279 per share. Higher tax costs caused MobiKwik to go into the deficit in the September quarter of the fiscal year 2024–2025 (Q2 FY25). The fintech juggernaut posted a net loss of INR 3.59 Cr in the second quarter of FY25, compared to INR 5.22 Cr in the same time last year. During the reviewed quarter, operating revenue increased 42% to INR 290.65 Cr from INR 203.45 Cr in Q2 FY24.

    Despite a 33% yearly drop to $1.9 billion, India still ranks third in the world for fintech funding in 2024. With eight IPOs and two new unicorns, the ecosystem demonstrated resiliency. Digital lending solutions dominated investment, with notable funding rounds including DMI Finance and Credit Saison. Elevation Capital and Peak XV Partners were among the major investors.

    Pocket FM Announces Layoff of 75 Employees in Latest Round
    Pocket FM announces another round of layoffs, letting go of 75 employees as part of its workforce reduction efforts.
    StartupTalkyNitin Konde

  • 75 Employees Will Be Let Go by Pocket FM in Another Layoff Round

    A media report claims that as part of a reorganisation plan, audio series provider Pocket FM is laying off about 75 workers. The company has laid off employees twice in the last six months in an effort to reduce expenses and get closer to profitability.

    According to reports, Pocket FM terminated contracts with 200 freelance writers earlier in July and fired off 50 staff in October 2024. According to a corporate spokesman who confirmed the recent layoffs to a media outlet, Pocket FM has made the difficult choice to let go of over 75 of our valued team members as part of the company’s drive to create a more lucrative and efficient organisation.

    According to sources, since the process is still ongoing, the final number of layoffs may be greater. Despite its difficulties, the spokesperson stated that this action was required to guarantee the organisation’s long-term viability and prosperity. The layoffs follow rival Kuku FM’s reported November 2024 layoffs of roughly 100 workers. More than 200 million people have signed up for Pocket FM, and in 2024 alone, they streamed more than 100 billion minutes of material. Additionally, the business reports that users have spent an average of 115 minutes per day using the app, and that over 45 million transactions have been conducted this year.

    How Pocket FM Operates?

    Founded in 2018 by Rohan Nayak, Prateek Dixit, and Nishanth Srinivas, Pocket FM offers more than 75,000 audio series in a variety of genres, including fantasy, romance, and thrillers. Both English and a number of Indian languages, such as Bengali, Tamil, and Hindi, are available on the platform.

    It uses a freemium business strategy, giving users 15 minutes to view each of its audio series for free before allowing them to buy coins for INR 50–100. New episodes can be unlocked with these coins.

    Financial Dynamics of Pocket FM

    For the fiscal year 2023–2024 (FY24), Pocket FM recorded consolidated revenue of INR 1,051.97 crore, a remarkable six-fold growth over the previous year’s revenue of INR 176.36 crore. At the same time, the company’s losses dropped from INR 208 crore in the previous fiscal year to INR 165 crore.

    Subscription income from micro transactions, which increased to INR 934.73 crore in FY24 from just INR 160 crore the year before, was said to be the main driver of the revenue surge. Anurag Sharma, chief financial officer of Pocket FM, informed a media outlet that the company anticipates an 80% increase in revenue this year (FY25).

    Tencent, Lightspeed, Goodwater Capital, Stepstone Group, Times Group, Tanglin Venture Partners, and South Korean internet titan Naver are among the investors in Pocket FM. When the firm raised $103 million in March, led by Lightspeed, its latest valuation was $750 million. To date, it has raised $196.5 million in funding.

    India Ranks Second Globally in Digital Skills for Future Jobs
    India ranks second globally in digital skills essential for future jobs, showcasing its readiness for the evolving workforce.
    StartupTalkyNitin Konde

  • India Ranked Second in Terms of Digital Skills Required for Jobs of the Future

    According to the QS World Future Skills Index, India came in second place for the digital skills needed for the employment of the future. With its headquarters in London, Quacquarelli Symonds (QS) offers advice and insights to students for institutions of higher learning. Nunzio Quacquarelli, the founder and CEO of QS, stated in a post on X that India is ranked fourth in terms of AI and green skills indices and second in terms of digital skills.

    Reacting to this development, Giridhar LV, CEO and Co-founder, Nuvepro Technologies stated, “India’s ranking as second in digital skills demand underlines the transformative potential of our workforce. Yet, the gap between what academia delivers and what industries require remains a pressing challenge. At Nuvepro, we believe skills, not just credentials, define readiness and we champion a shift from degree-focused learning to skill-based empowerment. Our hands-on learning approach ensures individuals are not just academically prepared but truly project-ready, enabling them to contribute meaningfully to the future of work and the digital economy.”

    PM Applauding the Development

    “Our Government has worked on strengthening our youth over the last decade by equipping them with skills that enable them to become self-reliant and create wealth,” Prime Minister Narendra Modi stated in response to his post. Additionally, the Indian government has used technology to establish India as a centre for enterprise and innovation. As the nation progresses towards prosperity and youth empowerment, the prime minister went on to say that the QS World Future Skills Index’s observations are invaluable. Using four criteria—skill fit, future of work, academic preparedness, and economic transformation—the index evaluated over 190 nations. In terms of digital skills, which fall under the “future of work” criteria, India came in second.

    Scaling High on Future of Work Indicator

    In the “future of work” indicator, the nation received a score of 99.1 out of 100. The future of work score, according to QS, evaluated the abilities that are primarily stressed in international job postings. Digital, AI, and green competencies were among the competencies. According to QS’s report, this score was obtained by using its proprietary skills taxonomy to analyse more than 280 million job ads worldwide. According to the report, more than 9,500 emerging skills were found and compared to traditional skills, giving employers a clear picture of how highly they value future-orientated skills in the global labour market.

    Overall Performance of the Country

    India, however, came in at number 25 with an overall score of 76.6 out of 100, lagging behind nations like the US, UK, and Canada. It is important to remember that the Indian government is promoting upskilling through initiatives like Digital India, Skill India, and Skill India Digital (SID). SID is a platform that offers job opportunities, entrepreneurship support, and industry-relevant skill development courses. It was launched in 2023. In 2015, Digital India and Skill India were introduced. In order to make India a digital-first economy, the government has also introduced India Stack, a collection of digital technologies. Among other things, it contains DigiLocker, eKYC, the Account Aggregator Framework, and UPI.

    India’s positioning in the QS World Future Skills Index demonstrates its increasing capacity to train a workforce that is prepared for the future. The country’s dynamic economy, strong educational system, and demographic advantage make it a strong competitor in the global labour market, despite ongoing issues in innovation and sustainability.

    NCLAT Considers WhatsApp and Meta’s Plea Against CCI Penalty
    NCLAT acknowledges WhatsApp and Meta’s arguments challenging the CCI-imposed penalty, marking a key development in the antitrust case.
    StartupTalkyNitin Konde

  • NCLAT Acknowledges WhatsApp and Meta’s Argument Against CCI’s Penalty

    The appeals submitted by Meta Platforms and WhatsApp against an order issued by the Competition Commission of India (CCI), a fair trade regulator, that imposed a penalty of INR 213.14 crore for abusing market dominance were admitted by the appellate panel NCLAT on 16 January. A two-member bench of the National Company Law Appellate Tribunal (NCLAT) stated that the matter needs to be taken into account after hearing Meta and CCI’s initial statements. “We conclude that consideration should be given to the submission made by the parties. The NCLAT bench, which included Justice Ashok Bhushan as its chair, declared that it accepted both appeals. However, NCLAT stated that it will make a decision next week regarding the temporary respite to maintain the CCI order. The attorneys representing WhatsApp and Meta Platform asked the appellate tribunal to halt the CCI order during the hearings. The attorney representing the Competition Commission of India, however, disagreed.

    What was the issue?

    The CCI fined social media giant Meta INR 213.14 crore on November 18 for using unfair business practices in connection with the 2021 WhatsApp privacy policy modification. The NCLAT, which has appellate jurisdiction over CCI orders, has received challenges to this order from Meta Platforms and WhatsApp. Speaking on behalf of Meta and WhatsApp, Senior Advocates Kapil Sibal and Mukul Rohatgi argued that the CCI had overreached itself in making a decision about WhatsApp’s privacy policy while the case was still pending before a Supreme Court Constitution Bench.

    The entity’s privacy policy now includes CCI. It is in front of five Supreme Court judges. According to him, it lacks the authority to handle it. Furthermore, there isn’t a complaint in this instance, and CCI reached an “erroneous conclusion” regarding dominance without considering the “effect analysis” of that. According to Sibal, “Without an effect analysis, you cannot come to the conclusion,” and the CCI hasn’t even looked at the specific data being shared. Additionally, he said that CCI had prohibited WhatsApp from using data gathered on its platform for advertising reasons with other Meta firms or Meta company goods for five years and that “they are trying to destroy the business model.”

    Monetisation is the Key to Any Business

    Sibal went on to say that no software can thrive without generating revenue, noting that comparable platforms like Signal and Telegram have their own revenue schemes. Additionally, search applications make money in different ways. Additionally, he requested an emergency stay on the CCI order, which was due on February 19. According to Sibal, NCALT can take up the issue and make a decision after the Supreme Court rules on the privacy policy and the legislative regulations are established. “Moreover, the balance of convenience is in our favour, as we have been operating this for years,” he continued.

    WhatsApp spokesperson Mukul Rohatgi stated that everyone can use the app for free and that no one is being charged for sending “Good Morning to Good Night” messages that include videos. How is it possible for anyone to live on a free model? This sharing isn’t ominous. This is merely a business plan. These days, Facebook and WhatsApp are owned by the same company. He claimed that this type of sharing is harmless and not destructive. On behalf of the CCI, attorney Samar Bansal, however, disagreed with these claims, arguing that the CCI’s investigation and the Supreme Court case did not overlap. In response to a bench question, he stated that competition law examines commercial data, whereas data privacy law exclusively examines personal data.

    Droom Ventures into Car Rental with New Offering
    Droom introduces a new offering to step into the car rental industry, marking its latest move to diversify services.
    StartupTalkyNitin Konde

  • Droom Introduces A Fresh Offering To Enter The Car Rental Industry

    In an effort to tackle the issues facing the car rental industry, Droom has launched its new product, Droom Rental. The company, which is celebrating its tenth anniversary, announced the addition of a new category that employs technology and artificial intelligence to provide over 25,000 cars in over nine categories, including cars, buses, coaches, helicopters, planes, yachts, ambulances, scooters, bikes, and bicycles. In just one week since its introduction, Droom Rentals has reportedly acquired more than 1,500 listings from more than 100 rental providers in more than 25 cities.

    Car Rentals a Highly Unorganised Sector in India

    According to a statement from the firm, the $23 billion car rental market in India is currently very disorganised, with a significant lack of trust, opaque pricing, and non-standard experience, as well as a limited adoption of AI and technology. Other rental categories like daily rental, corporate rental, wedding rental, employee transportation solution, event rental, etc., remain largely unorganised, inefficient, and full of fragmented providers, despite the ride-hailing segment’s successful integration of cutting-edge technology and streamlined operations, Droom stated and expressed its intention to tap into the unorganised rental market.

    According to Sandeep Aggarwal, the founder and CEO of Droom, the car rental industry has long been a source of frustration for him because it lacks transparency, trust, standardisation, a vast or diverse fleet, or premium fleet options. He said that the company will shortly be introducing a state-of-the-art technological stack for employee mobility, corporate rental, and all other rental kinds, bringing India’s car rental market up to, if not better than, international standards.

    Connecting Used Car Dealers with Customers

    Sandeep Aggarwal founded Droom in 2014, and it provides an online marketplace that links buyers and used car dealers. Through its partnerships with banks and NBFCs, the startup also offers financial backing. To date, the firm has raised a total of $296.00 million. Spinny: A Gurgaon-based marketplace for trading used cars, Spinny was founded in 2015. It lets people buy cars, schedule test drives, and choose cars online. Droom’s rivals are Spinny, Cars24, and CarDekho.

    The startup’s main sources of revenue include advertising fees, vendor subscription revenues, and buyer commissions. In terms of finances, Droom’s India division cut its loss in half for the fiscal year that concluded on March 31, 2023. From INR 137 Cr in the previous fiscal year to INR 62.1 Cr in FY23, the company was able to reduce its net loss by 55%. But throughout the reviewed year, its operating revenue also fell. In FY23, Droom recorded operating revenue of INR 253.2 Cr, a 34% decrease from INR 384.6 Cr in FY18.

    Zomato Hyperpure Leases 250k Sq/ft Warehouse at Lodha Industrial Park
    Zomato Hyperpure rents a 250k sq/ft warehouse in Lodha Industrial Park, bolstering its supply chain operations.
    StartupTalkyNitin Konde