Startup

STARTUP DIGEST: Here’re the top startup stories of the day

Updated : July 21, 2020 12:55 AM IST

Jack Ma owned Ant Group begins concurrent IPO process in Shanghai, Hong Kong.

Walt Disney has become the latest company to slash its advertising spending on Facebook.

IBM shared the company’s ‘huge investment’ plans in India and expressed confidence in the Aatmanirbhar Bharat vision.

There were many developments on Monday in the startup space. Here’s a closer look at today’s startups news and everything you need to know.

#1. E-commerce rules under Consumer Protection Act to be notified soon: What changes for consumers?

The government will notify new e-commerce rules soon even as the Act itself comes into effect today. Under the Consumer Protection Act, e-commerce companies will have to appoint a grievance officer for consumer grievance redressal. E-commerce companies won't be allowed to manipulate the price of goods or services to gain unreasonable profit.

#2. Amazon’s Global Seller Program crosses $2 billion in cumulative e-commerce exports sales from India

Amazon's global selling program crosses $2 billion in cumulative exports sales from Indian MSMEs and brands. The program enables over 60,000 micro, small and medium enterprises to sell Indian products worldwide, Amazon says.

The e-commerce giant has set a target to drive $10 billion in E-commerce exports from India by 2025. Delhi, Maharashtra, Rajasthan, Gujarat, Uttar Pradesh, and Haryana emerged as the top states with most e-commerce exporters, with Gujarat and Rajasthan swapping places at number 3 and 4, respectively.

During the pandemic, ‘Made in India’ products across categories like health and hygiene, nutritional supplements and home essentials saw heightened demand from customers in markets like the US, Canada, Europe, Mexico, Japan, and Australia, among others.

#3. MPowered raises $21 million from a group of US-based HNIs

Asset Management firm MPowered on Monday raised 21 million dollars from a group of US-based HNIs to take on new verticals of real estate including warehousing, residential and commercial. The round is led by New York-based serial entrepreneurs and real estate honchos Ashok Nichani and Shelly Nichani.

The funding will be used by the firm to take on new verticals of real estate such as warehousing, residential and commercial spaces. A portion of the funding amount will also be used to develop tech-solutions that will enable ease-of-use in day-to-day real estate transactions and management.

#4. InCred raises 500 crore in debt funding, to boost lending across segments

Financial services platform InCred that provides consumer and MSME loans has raised Rs 500 crore debt funding from various public sector banks and public financial institutions. This round of debt financing will boost InCred’s lending expansion across select segments in the Consumer, Education and MSME markets.

This funding comes within a month of the news of the fintech lender acquiring fintech platform Qbera to augment its digital distribution capabilities. InCred had earlier raised Rs 600 crore equity Series A funding round which was led by Dutch development finance institution FMO, the round also saw participation from US-based asset manager Moore Capital, India/Latin America-focused PE fund Elevar, and Alpha Capital, an early- stage investor of InCred

#5. PM Modi interacts with IBM CEO Arvind Krishna; IBM shares its 'huge investment' plans in India

Prime Minister Narendra Modiinteracted with IBM CEO Shri Arvind Krishna via video conferencing today. IBM shared the company’s ‘huge investment’ plans in India and expressed confidence in the Aatmanirbhar Bharat vision.

During this meeting with IBM, PM Modi highlighted that this is a great time to invest in India. He said that the country is welcoming and supporting investments taking place in the tech sector. CNBC-Tv18 has reached out to IBM to decode the details of this plans and awaiting response.

He noted that while the world is witnessing slowdown, FDI inflow in India is increasing. He said that the country is moving forward with the vision of a self-sufficient India so that a globally competent and disruption resilient local supply chain can be developed.

This meet comes in a week after Google chief Sundar Pichai announced that the tech giant’s plans to invest Rs 75,000 crore, which translates to approximately $10 billion, into India over the next 5-7 years through its India Digitization Fund. Out of this fund, the tech giant has will invest Rs 33,737 crore in Jio Platforms for a 7.7 percent stake in RIL's technology arm.

#6. Jack Ma’s Ant Group to kickstart Shanghai, Hong Kong dual IPOs

Jack Ma owned Ant Group begins the concurrent IPO process in Shanghai, Hong Kong. The world's most valuable tech unicorn said that the listings will help the company accelerate its goal of digitising the service industry in China, develop global markets with partners and expand investment in technology and innovation.

“Becoming a public company will enhance transparency to our stakeholders, including customers, business partners, employees, shareholders and regulators,” Ant CEO Eric Jing said in a statement.

“Through our commitment to serving the under-served, we make it possible for the whole of society to share our growth.” The listing of ANT that operates the Alipay mobile wallet would be one of the largest listings in years. It was valued at $150 billion in its last funding round.

#7. Disney cuts ad spends on Facebook: Report

Walt Disney has become the latest company to slash its advertising spending on Facebook, as the social media giant faces an ad boycott over its handling of hate speech and controversial content according to reports.

Disney joins other companies like Starbucks Corp, Unilever Plc, Adidas AG and others that have pulled advertising from the tech giant.

The time frame for Disney's pullback wasn't clear as some brands paused their ad spending for longer stretches, the report said, adding that Disney didn't make a public announcement that it was cutting back on Facebook but shifted advertising plans silently.

Disney has paused advertising of its streaming video service Disney+ on Facebook as the company is concerned about Facebook's enforcement of its policies surrounding objectionable content, the report said. The company has also paused ad spending on Facebook-owned Instagram for its another streaming service called Hulu, the report added.

#8. Twitter disables Donald Trump’s tweet after Linkin Park complain

Twitter over the weekend disabled a campaign-style video that US President Donald Trump retweeted citing a copyright complaint.

The video, which included music from the rock group Linkin Park, disappeared from the President’s Twitter feed with the notification: “This media has been disabled in response to a report by the copyright owner. In response, Linkin Park in a tweet said:

“Linkin Park did not and does not endorse Trump, nor authorize his organization to use any of our music. A cease and desist has been issued.”

STARTUP DIGEST: Here’re the top startup stories of the day

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