Tag: invest in indian startups

Top Startup Investing Platforms in India You Need to Know About
Today, the term ‘Startup’ is familiar to all of us. In the past few decades, startups have made every activity easy. There is an app for almost everything. You need groceries, clothes, in-home services, everything is just one click away.

A startup takes birth from a mere idea that comes out of passionate minds. For starters, it takes an idea, a team, and proper planning to begin with.

Along with all these, the most important thing in any startup is an investment. Sometimes, a small team can’t put in their savings and make it work. They need investment from outside sources as well.

Ordinary people can make an investment in a startup too as now, there are various platforms available where you can invest. In this way, you get a piece of the company and a share in profits in exchange for your investment.

What is a Startup?
What is Startup Investing?
Why should you Invest in Startups?
Startup Investing Platforms in India
What is a Startup?

In simple words, a startup is a company that is in the early stage of business. It is founded by one or more entrepreneurs. It is found that when an entrepreneur sees the demand for a product or service in the market and decides to produce or develop it.

Startups often need financing. The finance sources can be family and friends, bank loans, or crowdfunding. The founders can also take the help of venture capitalists for investment.

A startup comes with a high risk. There is a big possibility of failure on the one hand. On another, it can flourish well and turn out to be lucrative.

It offers a unique and challenging space for the whole team. The best part is that a startup is full of new ideas and innovations. This makes it a perfect learning space for new employees and interns.

What is Startup Investing?

Startup investing means investing in a company in its initial stage. You get equity, a part in ownership, and a share in future profits in exchange for your investment.

Investing in a startup at an early stage can be both profitable and loss-making. If the startup turns out to be a failure, then you lose your investment. If it flourishes, you will flourish in profit too.

For the most part, startups try to raise investments at an early stage. Investments can also be raised later when the startup is at a growing stage.

Startup investing can be risky. But nowadays, many people seem interested to take this risk. Considering the positive side, this risk can be of great worth.‌

Why should you Invest in Startups?

Number of Startup Investment Deals in India

Some of the reasons one should invest in startups are:
- Startup investing offers great growth potential. Indeed, it is risky but it can also be rewarding.
- Startup investing is a good idea because it gives you a sense of belief in a new idea.
- It helps you to contribute to an appealing idea that you want to see in the world.
- It helps to develop stronger personal connections. When you have a share in the startup, you feel more connected to it.
- One of the best reasons is that it gives a sense of fulfilment. Seeing an idea come to life with you being a part of it. It is a feeling so many people like to feel.
How to invest in startups in India?

Startup Investing Platforms in India

Today is the digital age. Digitalization has made fundraising or investing easier with the help of online platforms. It is now possible for ordinary people to invest in startups through crowdfunding sites. There are certain terms and conditions like fixed least amount, net worth, and income. Every platform has its own rules.

Here are some startup investing platforms in India:

Inflection Point Ventures

Founded in 2018, Inflection Point Ventures (IPV) is an early-stage angel investing platform.

The platform has grown from 100 investors to over 6,000 members today comprising CXOs, HNIs and top professionals. With IPV, one can start investing in startups with as low as Rs. 2.5L per startup. According to the recent Nasscom Indian Tech Startups Ecosystem report, IPV has emerged as one of the most active angel platforms in India.

IPV has investors across the globe in over 45 countries. Their robust proprietary 150+ due diligence parameters ensure deep evaluation and higher chances of success in invested startups. The platform has invested over Rs. 350 crores in 110+ startups. Some of the prominent startups they have invested in are BharatPe, Toch, BluSmart, Otipy, Phable and Uable.

LetsVenture

Lets Venture Homepage

LetsVenture is one of the leading startup investing platforms. The first beta of LetsVenture was launched in the year 2013. Shanti Mohan, entrepreneur and angel investor is the founder and CEO of LetsVenture.

It is a platform that connects startups with authorized investors. It makes the process of fundraising super easy and efficient for both investors and startups.

LetsVenture has helped 300 plus startups raise $200 Million in their initial stage. These funds are raised from 28 active syndicates, 6500 plus authorized investors, micro funds, and family offices.

AngelList India

AngelList India Homepage

AngelList is another great platform that connects startups with investors. It was founded in the year 2010, by Naval Ravikant and Babak Nivi.

This idea began when the two founders made a list of 25 investors with whom they would share lucrative startups to invest in. They named this list ‘AngelList’.

AngelList has funded over 400+ startups with more than $2 Billion worth of investments. One has to qualify as an Eligible Angel Investor to invest here.

SeedInvest

SeedInvest Homepage

It is a crowdfunding platform that gives access to investors to invest in startups. SeedInvest is a reliable platform as it has a strict criterion for company selection. However, it is always good to have detailed research before investing.

Angel Investment Network

Angel Investment Network

Angel Investment Network is one of the leading startup investing platforms. It offers a variety of locations, industries, and investment sizes. This variety makes it a great marketplace for both startups and investors.

The best part is that you can register for free as an investor. Investors can directly message and chat with their desired entrepreneurs. This develops trust between both parties.

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Conclusion

Startup investing is a super-risky business. It’s kind of like a gamble. No matter how detailed research one has conducted. We can never predict the exact success or failure of a startup.

One should not indulge themselves in it only for the sake of a share. One must be calculative and be prepared if their investment goes in vain.

Nowadays, people can invest in private equity funds that specialize in venture capital funding. This allows them to make an indirect investment in a startup.

In the end, startup investing often works on extremities. Either it makes huge profits or drains you of your entire investment.

FAQs

Which startup is best to invest in India?

Some of the best startups to invest in India in 2022 are:
- Meesho
- Infra
- PharmEasy
- CRED
- Groww
How can I become a startup investor in India?

Join a group of angel investors, Get involved with incubators and accelerators or you can also sign up on one of the startup investing platforms.

Which city is best for startups in India?

Bangalore is known as the Silicon Valley of India and is known as the best city for Startups.

Which are the top Startup investing Platforms in India?

Top Startup investment Platforms in India:
- Inflection Point Ventures
- LetsVenture
- AngelList India
- SeedInvest
- Angel Investment Network
July 11, 2022
Reasons behind why Google might fund in Airtel

On 28^th August, it was announced that Bharti Airtel might get an investment of up to thousands of crores from Google. According to sources, Google and Airtel were in talks for over a year and are currently said to be in the advanced stages of negotiations. Airtel is also planning other fundraising options as it had a debt of Rs 1.6 lakh crore in June 2020 because it was unable to raise tariffs freely.

Google had earlier invested over Rs 33,737 crore in Reliance industries digital subsidiary, Jio Platforms Ltd in order to get a stake of over 7.73% in the Jio platforms which is currently the main rival of Airtel. Both Google and Airtel have not made any formal announcements regarding the upcoming deal, but media sources say that Google’s investment in Airtel will be several thousand crores of rupees.

The details of the partnership are being worked up by the executives of both the companies, while their internal and external legal and M&A teams are involved with sorting out the smaller details of the arrangement.

Why Google may invest in Airtel?
How will this deal benefit Airtel?
Google’s India Digitization Fund
Top investments made by Google in Indian startups
Frequently Asked Questions

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Why Google may invest in Airtel?

‌‌According to one of the Analysts, “The entry of Google adds strength to the balance sheet of Airtel. Also, it helps the company strategically as Google brings in innovation capabilities and strength on data analytics. Google’s data monetization is far superior to any other company in the world, and it can help Airtel monetize its data much better to improve its realizations and profitability.”

The analyst also added that, Google may have big reasons to why it’s investing in Airtel as, “If anything goes wrong tomorrow, your (Google) credibility in the market goes out even though it will be limited liability. To save its name, the company will have to settle its dues in case Airtel is not able to move ahead due to financial pressures and starts slipping down.”

How will this deal benefit Airtel?

If this deal is successful, it will be a major help to Airtel as it is currently facing many problem because of its competitors like Reliance Jio that are providing data at cheaper prices. Jio was the reason behind disrupting the successful financial model of the industry. Other Telecom companies like Vodafone and Idea Cellular were forced to merge because of the stiff competition from Jio.

Google’s investment and data monetization methods have the possibilities to help Airtel to become successful, earn more money and work on its profitability. Airtel is also raising more funds so it can increase the capacity of its 4G networks around India. This investment by Google can also help the telecom company to set a lot of things in order, pay off the debts to the government and also invest in 4G and 5G networks.

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Google’s India Digitization Fund

In July 2020, Google announced that it had set aside $10 billion funds to invest in the startups of India over the course of five to seven years. The investment was said to be in the form of investments, seed investments, partnerships among other arrangements. This was planned in order to accelerate digitization in India and reduce the gap in the Indian tech investments ecosystem.

This fund was said to be invested in the sectors of consumer tech, education, health, agriculture, technology, AR &VR, and helping SMEs. This fund initiative was called the Google for India Digitization Fund as it aimed in helping Indian companies to grow in their Google portfolio.

This morning, had an extremely fruitful interaction with @sundarpichai. We spoke on a wide range of subjects, particularly leveraging the power of technology to transform the lives of India’s farmers, youngsters and entrepreneurs. pic.twitter.com/IS9W24zZxs

— Narendra Modi (@narendramodi) July 13, 2020

Top investments made by Google in Indian startups

Google has made numerous investments in Indian startups and ventures over the few years. In 2013, Google has invested Rs 3.13 crore in Sana Ventures as a part of a seed round funding and the same year it also invested Rs 3 crore in Agastya International Foundation. After that in 2017, it went on to invest Rs 3 crore in CueMath which is a well-known online Edtech company. In 2020, Google also invested over $27,500,000 in the series E funding of Aye Finance which is a Gurugram based Fintech Company.

It also invested over $12 million in Dunzo an Indian delivery company in 2021. In 2020, Google invested $100 million for DailyHunt and an undisclosed amount in Glance which is both news platforms. The same year’s Google invested over Rs 33,737 crore in Jio Platform which is the digital subsidiary of the conglomerate Reliance Industries. This investment led to Google claiming a 7.73 % stake in Jio Platform and helped Jio clearing its debt ahead of its March 2021 target.

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Frequently Asked Questions

‌How much did Google invest in Reliance Jio?

The same year’s Google invested over Rs 33,737 crore in Jio Platform which is the digital subsidiary of the conglomerate Reliance Industries.

What is Google’s India Digitization Fund?

In July 2020, Google announced that it had set aside $10 billion funds to invest in the startups of India over the course of five to seven years.

How much is Google investing in Airtel?

The amount is not disclosed yet but is estimated to be thousands of crores.

August 30, 2021
How the Airtel Startup Accelerator Program is helping Startups Grow

One of India telecom giants Bharti Airtel launched its Startup Accelerator Program in 2019 to support growth of early stage Indian tech startups. With the advent of its Startup Accelerator Program, Airtel aims to support the creation of a vibrant startup ecosystem that contributes to Digital India. Airtel believes that new technologies like AI and Machine learning could be leveraged to aid the growth of startups.

The program will help early stage startups get access to Airtel’s online and offline distribution network, deep market understanding and ecosystem of global strategic partners. With the Artificial intelligence and machine learning (AI/ML) becoming the next big thing in technology, the program has also developed strong in-house capacities for using these new age technologies.

Moreover, the startups will also get access to advisory services form Airtel executive team. Chief product officer of Bharti Airtel, Adarsh Nair on the launch of the accelerator program shared that early startups in India have exciting ideas but face multiple challenges in scaling up. He added, “With Airtels scale and digital capabilities around distribution and payments, we have the potential to drive the accelerated growth of emerging startups that are solving hard problems”.

A Brief about Bharti Airtel
How does the Startup Accelerator Program help Startups?
Some Startups under the Accelerator Program
FAQs

The Success Story Of Bharti Airtel: A Case Study

Bharti Airtel is a public limited company commonly known as Airtel. It is anIndian telecom company which is currently operating its business across southAsia, Africa and Channel Islands, it is also into the GSM providing business inall the countries including 2G and 3G services. Due to its operat…

StartupTalkyPV Vyshnavi

A Brief about Bharti Airtel

Airtel is a global telecommunications company with operations in 18 countries across South Asia and Africa. The company ranks amongst the top three mobile operators globally and its mobile network covers a population of over two billion people. Airtel is India largest integrated telecom provider and the second largest mobile operator in Africa. At the end June 2020, Airtel had approx. 420 million customers across its operators.

The portfolio of airtel includes high speed 4G/4.5G mobile broadband, Airtel Xstream Fiber that promises speeds up to 1Gbps and converged digital TV solutions through the Airtel Xstream 4K hybrid box. It also has digital payments through Airtel Payments Bank as well as an integrated suite of services across connectivity, collaborations, cloud and security that serves over one million businesses.

Airtel OTT services that includes Airtel Thanks app which is made for self-care, Airtel Xstream app for video, Wynk Music for entertainment and Airtel blue jeans for video conferencing. In addition, Airtel has forged strategic partnerships with hundreds of companies across the world to enable the Airtel platform to deliver an array of consumer and enterprise services.

How does the Startup Accelerator Program help Startups?

Airtel Startup Accelerator Program allows startups to leverage Airtels robust ecosystem including its core strengths in data, networks, payments and distribution. The program includes an access to a vast range of online and offline distribution network that touches 300 plus customers, deep market understanding and platform of global strategic partners.

Madhav Krishna, Founder and Chief Executive Officer, Vahan with Adarsh Nair, Chief Product Officer, Airtel

Further, startups also get access to advisory services from Airtel’s executive team. In India, Airtel serves customers across mobile, landline and DTH verticals. The program was introduced on 25^th October 2019, Airtel will help early startups with its online and offline distribution network, deep market understanding and global strategic partner ecosystem.

The company said in a statement, “With its Startup Accelerator Program, Airtel aims to support the creation of a vibrant startup ecosystem that contributes to Digital India”. Airtel has also developed in-house capabilities around machine learning (ML) and artificial intelligence (AI), which could be leveraged to aid the growth of startups. The statement added that the startups will also get access to advisory services from Airtel’s executive team.

Some Startups under the Accelerator Program

The companies under the airtel startup accelerator program

Vahan

Vahan is a Bengaluru-based tech startup and the first company to come under this program. The telecom has brought 8.8% stakes of the tech startup and will partner with them to achieve their visions of enabling jobs for the next billion internet users with the help of AI based technology. The company was founded in 2016 and is backed by YCombination and Khosla Ventures.

The company is focused on finding blue collar jobs for millions of young Indians in Delivery, Driving, Retail, BFSI, BPO and Hospitality sectors with companies such as Zomato, Swiggy and Dunzo as clients.

Madhav Krishna, Founder and Chief Executive Officer, Vahan, in a statement said, “Most blue-collar job seekers are unaware of the opportunities that exist in the market, especially new-age on-demand jobs. Airtel’s distribution channels will help us reach the depths of the country and in turn, help them take control of their economic destiny.”

Vahan leverages advanced Artificial Intelligence to match job seekers with employers inside messaging apps such as Whatsapp.

Waybeo

Waybeo is a Trivandrum headquartered startup which focuses on deep AI based analytics for cloud telephony, is the fifth to join the fast growing Airtel Startup Accelerator Program, which helps promises startups unlock their potential. Airtel has chosen Waybeo to be a part of the program as it is part of its strategy to scale up its cloud offerings. As per IDC, the public cloud services market in India is likely to reach US$7.1 billion by 2024.

Adarsh Nair, Chief Product Officer, Airtel said: “Cloud technologies are transforming the way businesses serve and delight their customers. We are thrilled to onboard Waybeo to our Startup Accelerator program and provide them a platform to scale up their technologies as part of Airtel’s world-class cloud services ecosystem.”

Waybeo has managed to build a cutting edge analytics tools for the enterprises cloud telephony segment. Under the Airtel Stratup Accelerator program, Waybeo solutions will get larger distribution reach while giving Airtel access to waybeo proven as well as emerging technologies. Airtel serves over 2,500 large enterprises and more than a million emerging businesses with an integrated product portfolio, including Airtel cloud, a multi cloud product and solutions business.

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Voicezen

The other company that came under the program was Voicezen, which is a Gurgaon-based startup that works on developing advanced solutions that leverage machine learning, AI, speech to text and voice technologies to offer real time analytics to help brands serve customers better. The global conversational AI market size is expected to grow from USD 4.2 billion in 2019 to USD 15.7 billion by 2024. The megatrend will be driven by surging demand for AI powered customer support services and Omni channel deployment.

Increased customer engagement through social media platforms and integration of advanced AI capabilities will offer massive opportunity. The investment will give Airtel preferred access to Voicezen’s technologies, which can be deployed across its customer touch points in multiple languages. These intelligent solutions will offer real time analytics and insights to make Airtel’s conversations with its customers more engaging and frictionless and enable faster resolution.

It will also allow Airtel to make contextual offers to customers based on real time conversations. Voicezen is the third startup to become a part of the Airtel startup accelerator program. By becoming a part of this program, Voicezen will get the opportunity to deploy its technologies on a massive scale and work closely with Airtel on developing India first platforms of the future. Voicezen helps brands deliver a better customer experience in Indian language using Conversational AI.

Apurba Nath, founder Voicezen said , “Having worked on AI solutions in the past, we knew what works well in a lab most often doesn’t work in the real world, because either the training data is not large and relevant or the problem has little business significance. Our partnership with Airtel helps us solve these challenges. With this strategic investment, we will work even more closely with them to continuously improve our AI models and build out an enterprise grade battle hardened product that will make customer interactions more efficient, especially in this post Covid world where business operations are facing large disruptions.”

Spectacom Global Pvt. Ltd

Airtel has also picked stake in Spectacom Global Pvt. Ltd which is a fitness focused startup, through its Airtel startup Accelerator Program. Airtel will work with the startup to increase the adoption of its services by leveraging its digital platforms, including Xstream and Wynk Music. Adarsh Nair said that, “This also fits into Airtel strong focus on connecting with the youth and providing them digital platforms to fulfill their aspirations”.

The Gurugram based Spectacom, set up by Adnan Adeeb and Zeba Zaidi, says it create digital content that allows consumers across geographies and languages to access health and fitness training initiatives and programs. The firm will also work to creating and promoting product lines such as training and nutrition videos along with live sporting events.

Lattu Kids

Foraying in the edtech sector, Bharti Airtel has acquired a 10% stake in Lattu Kids for as part of the Airtel Startup Accelerator Programme. The startup is Mumbai-based and was founded in 2017 by Vivek Lath, Vivek Bhutyani and Arvind Kumar. They offer learning and development content through streaming platform for kids between three to eight years of age.

Bhutyani, CEO of Lattu Kids, commenting on the investment by stating, “With Airtel, we have found an equally passionate partner and our synergies in this space will allow us to scale Lattu to millions of kids in India across classes and make it a much-loved homegrownn edtech brand.”

With the pandemic the edtech sector has seen a huge boost so this investment will pay off definitely. Airtel will be able to add edtech to its premium digital content portfolio and offer quality learning material compiled by the company.

Conclusion

With these investmet, Airtel will be able to capture a larger audience. They forayed into fitness, edtech, AI as well as blue collar job provider platforms. These startups will also be able to reach a wider audience and get mentorship from industry experts. Overall, it’s a win-win for all.

FAQs

How do Accelerator programs work?

Accelerator programs are mainly programs of limited-duration that help startups with the new venture process. They usually provide a small amount of seed capital, plus working space and mentorship help with their growth in the ecosystem.

What are the benefits of Airtel startup accelerator program?

The program will help early stage startups get access to Airtel’s online and offline distribution network, deep market understanding and ecosystem of global strategic partners. With the Artificial intelligence and machine learning (AI/ML) becoming the next big thing in technology, the program has also developed strong in-house capacities for using these new age technologies. Moreover, the startups will also get access to advisory services form Airtel executive team.

What services does Airtel provide?

Some Airtel services include high speed 4G/4.5G mobile broadband, Airtel Xstream Fiber that promises speeds up to 1Gbps and converged digital TV solutions through the Airtel Xstream 4K hybrid box. It also has digital payments through Airtel Payments Bank as well as an integrated suite of services across connectivity, collaborations, cloud and security that serves over one million businesses. Airtel OTT services that includes Airtel Thanks app which is made for self-care, Airtel Xstream app for video, Wynk Music for entertainment and Airtel blue jeans for video conferencing.

May 14, 2021

Secrets To Chinese Investment in Indian Startups – Even In This Down Economy

Over the years, it is clearly seen that China is very interested in India. This can be easily seen with the help of the large investment made by the Chinese companies in the Indian Start-up ecosystem. In India, China’s tech giant companies and venture capital funds have made a big Chinese investments in India – largely in tech start-ups. These investment are made on evaluating some of the parameters which are acting as the ultimate success for the Chinese investing forums. They are:-

Value of Equity Invested- according to the business model.
Target Companies- according to the USP and the Similarity with other start-ups.
Location of investment for better acquiring the customers.
Nature of business- depending upon the people interest and other direct and indirect investment techniques.

Present Scenario of Chinese Investment in Indian Startups

Present scenario of Chinese Investment in India: Over the years, it has been seen that the Chinese start-up companies are getting a great success in the Indian market. TikTok, owned by ByteDance, is already one of the most popular and most downloaded app in India and the world, overtaking YouTube.

Xiaomi handsets are bigger than Samsung and Apple smartphones. The companies are having a large customer base making themselves the market leaders in their sectors respectively. All these Chinese start-ups are working behind the Indian start-up by providing the investment to these Indian start-up companies in the Indian start-up ecosystem. Chinese investment in Indian tech start-ups is making an impact disproportionate to its valuation, by deeply penetration of technology across sectors in India.

The statistics of the past years says, Oyo and Ola and many more. Indian Unicorns with Chinese investors are counted as 18 out of the 30 . This means that China has embedded itself deeply in the Indian ecosystem which is helping them in getting the large profits.

The Chinese companies and venture firms made the investment in about two dozen Chinese tech companies and firms which are having more scope of success according to them. These investing giants consist of the companies and firms like Alibaba, ByteDance and Tencent, which are completely established in the market and earning the great profits. These Chinese Companies have invested their money in about 92 Indian start-ups, including some of the unicorns such as Paytm, Ola, Dream 11, Byju’s and many more.

Division of the Chinese Investors

Chinese investment in Indian Startups are categorized in two groups. These Chinese investment in Indian Startups have made these companies a giant in the Indian startup ecosystem. They are:-

1) Chinese VC funds, such as CDH Investments, Ward Ferry, SAIF Partners and Hillhouse Capital, mostly based in Hong Kong. They are akin to professional global investors, such as Sequoia or Softbank, and look for a bigger financial returns according to the investment.

2) Tech giant companies, like Alibaba, Tencent and Xiaomi, which want a serious presence in the Indian market, just as Walmart (via Flipkart) and Amazon do but in a virtual manner without any burden.

Biggest Chinese Investments in Indian Startups

ALIBABA GROUP	SECTORS
Dailyhunt, Healofy, Paytm Mall, Paytm.com, TicketNew, Vidooly, Xpressbees, Snapdeal, Zomato	E-commerce, Search Engine, Media, Social Media & Entertainment, Logistics, Fintech, Aggregator, Others
TENCENT	SECTORS
Byju’s, Ola, Doubtnut, Dream 11, Flipkart, Niyo,Ganna, Mike, Khatabook, MXplayer, Mygate, Pine labs. Pocket FM, Practo, Swiggy, Udaan	Education, Logistics, Gaming, E-commerce, Media, Social Media & Fintech, Aggregator, Others
XIAOMI	SECTORS
City Mall, Hungarna Digital Media Entertainment Pvt. Ltd, Marsplay Internet, Oye!, Rickshaw, Rapido, Sharechat ,Zesty Money	E-commerce, Fintech. Aggregator, Media, Social Media & Entertainment

Some of the big Chinese firms investment in the Indian startups ecosystem are:-

Funding by Chinese VCs

Shunwei Capital	Hillhouse capital	Fosun Rz Capital	GGV Capital
$ 9.4 Million Pratilipi	$ 13.2 Million epiFi	$8 Million DotPe	$24 Million Vedantu
$ 7.9 Million Sim Sim	$70 Million Car Dekho	$1.2 Million Loca	$36 Million Rupeek
$ 5.9 Million Kuku FM	$585 Million Udaan	$11.2 Million Delhivery	$25 Million Khata Book

This shows that the Chinese investors and VC firms are keenly observing the the Indian startup ecosystem and this can be easily proved by the above statistics which tells that these Chinese VCs are investing almost in all the Indian startups during their initial period of their startup. This Small-Small investment in almost all the startups has now become big amount in total.

Reasons behind the Chinese Investments in Indian start-ups

These Chinese companies are investing in such companies mainly due to 3 reasons. They are:-

Difference in the Currency Value

It is clearly seen that the Chinese currency is having the higher value than the Indian currency. The Chinese currency is almost 10 times larger than the Indian currency. This is the main point behind the Chinese investment in Indian start-ups.

This creates a plus point for the Chinese investors as, they have to invest less while investing in the Indian start-ups as compared to any Chinese investment.

Secondly, these Chinese companies investment in Indian start-ups having a similar concept eg: Alibaba invested in Paytm. This helps the Chinese investors to make a trade of technologies with the invested start-up. So, the Chinese investors are able to get their invested in one or the other form plus also gets the partnership in the start-up with the help of the shares they purchased, which ultimately acts ROI for these investors.

Data of the Indian Users

It is the well-known fact that data is the new oil. Chinese companies such as Alibaba and Tencent have their own ecosystems which are ready for use. This includes the online stores, payment gateways, messaging services, and many others.

These Chinese investors can pull the data of the Indian users. This can be done with the help of the position in the company (due to the investment) which can ultimately leads us to the loss of control over data. This data can be used in many ways and in different situations depending on the need of attraction of the customers having similar taste. This data has its own value in the market and after the loss over the data, there will be no privacy left for the existing customers of the service.

Restriction over the Platform Control

China is having a very large amount of restrictions over the companies which do not belongs to the Chinese state. China is having a closed internet service or the Chinese internet service which almost act as an intranet. This restricts outsiders and is closely monitored and controlled by the state. Many companies like Facebook, are banned in China and other companies working in China like Apple, have to undergo many restrictions.

Due to this many Chinese companies like Alibaba and Tencent are able to get all the benefits of this system. By restricting access to foreign players, China is able to create its own working surfaces. So, these Chinese investing companies and firms are trying to replicate their internet ecosystems in India. Once, they are able to get success in this task then they will be able to dominate over the Indian market which will directly affect the world’s market.

Chinese Investment in Indian Startups – FAQs

How many Indian startups are funded by China?

As per conducted surveys, it has been founded that 18 out of 30 Indian startups are funded by Chinese Investors. This means that China has embedded itself deeply in the Indian ecosystem which is helping them in getting large profits.

Is BigBasket funded by China?

Yes, BigBasket is funded by Chinese Investors – Alibaba. Recently, BigBasket has received funding of $50 million from Alibaba.

Is Flipkart funded by China?

Flipkart till now has received $7.7 billion from multiple investors and talking about Chinese Investors, Flipkart has received around $300 million from investors like Tecent and Steadview capital.

September 22, 2020

Tag: invest in indian startups

Top Startup Investing Platforms in India You Need to Know About

What is a Startup?

What is Startup Investing?

Why should you Invest in Startups?

Startup Investing Platforms in India

Inflection Point Ventures

LetsVenture

AngelList India

SeedInvest

Angel Investment Network

Conclusion

FAQs

Which startup is best to invest in India?

How can I become a startup investor in India?

Which city is best for startups in India?

Which are the top Startup investing Platforms in India?

Reasons behind why Google might fund in Airtel

Why Google may invest in Airtel?

How will this deal benefit Airtel?

Google’s India Digitization Fund

Top investments made by Google in Indian startups

Frequently Asked Questions

‌How much did Google invest in Reliance Jio?

What is Google’s India Digitization Fund?

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