From UPI to AI: The Spiciest Startup Updates to Kickstart Your Day

Enjoy today’s piping hot news from the world of Indian startups. Today the news-kettle overflows - Meesho gears up for a mega-round, and Koo's Tiger Global-backed journey hits a snag.

Plus - Amazon Pay's eyeing UPI credit rollouts, while Aditya Birla Capital targets 30M customers with a new digital platform while NPCI nudges UPI players, India eyes NVIDIA for AI, and RBI drafts rules for online payment.

As your snack with the chai, catch all the latest fundraising frenzy in the Indian startup scene whilst unwinding with our hand-brewed memes.

What Matters

“Ready, Steady, Go”: Meesho Eyes Larger $500 Mn-$650 Mn Round At Lower Valuation

Meesho is gearing up for a hefty funding round of $500 million to $650 million, with a significant chunk earmarked to cover taxes related to its shift from Delaware to India. Tiger Global and Peak XV are spearheading the investment, joined by heavyweights like SoftBank, WestBridge Capital, and Mars Growth Capital.

Despite the lower valuation pegging Meesho at $3.9 billion, a 20% drop from its earlier valuation, the funding round reflects investor confidence in the platform's potential for growth and expansion.

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“Hawa Nikal Gayi”: How Tiger Global-Backed Koo Lost Its X-Factor

Once hailed as a potential X rival, Tiger Global-backed Koo faces a harsh reality with a 62% drop in its active user base over the past nine months.

From layoffs to dwindling revenue and declining engagement, the microblogging platform's journey has hit roadblocks, sparking talks of acquisition by VerSe Innovation. With headcount slashed and salaries reduced, Koo grapples to reclaim its once-promising status in the social media sphere.

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“Ek Se Bhale Do”: Amazon Pay Eyes Roll Out Of Credit On UPI In Partnership With NPCI

Amazon Pay India is leveling up its game by eyeing the rollout of credit on UPI in collaboration with NPCI! Vikas Bansal, Amazon Pay India's director, spilled the beans, hinting at a seamless user experience in the making.

With RBI's nod to Amazon's fintech arm just two months back, it seems like the e-commerce giant is on a roll in the digital payment arena.

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“Learning to Fly”: Aditya Birla Capital Rolls Out New Digital Platform, Targets 30 Mn Customers In 3 Years

Aditya Birla Capital is stepping up its digital game with the launch of ABCD, a one-stop shop for all things finance, aiming to reach 30 million customers within three years. With Kumar Mangalam Birla at the helm, this move signals a determined stride towards dominance in the financial services arena.

Offering a diverse range of 22 products and services, ABCD promises to simplify finance for millions, making managing money as easy as saying the alphabet.

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“Seema Aunty of Finance World”: NPCI Nudging New UPI Players To Incentivise Consumers

Looks like NPCI is playing the role of ‘Seema Aunty the matchmaker’ by nudging fresh faces in the UPI scene to sweeten the deal for consumers, aiming to broaden its market share. With NPCI bigwigs keeping the lines buzzing, new UPI players like Cred, Slice, and others are pulling out all the stops to woo users with enticing offers.

It's a win-win scenario as consumers get more perks while the UPI ecosystem sees a vibrant expansion with these eager newcomers.

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“Ab Humari Baari”: India Eyeing Deal With NVIDIA To Procure GPUs For AI Mission

India is gearing up for an AI revolution by eyeing a deal with NVIDIA to supply GPUs worth INR 10,000 Cr, aiming to fuel innovation among startups and academic institutions. With plans to subsidize these GPUs, the government aims to democratize access to cutting-edge AI computing power.

NVIDIA's expressed interest in partnering with Indian companies aligns perfectly with India's mission to bolster its AI capabilities, signaling a promising step towards technological advancement.

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“iPhone Ka Jalwa”: iPhones Pushed Over 35% Surge In India’s Mobile Phone Exports In FY24

iPhones are flexing their muscle in India, driving a remarkable 35% surge in mobile phone exports in FY24, with Apple leading the pack with a whopping $10 billion contribution.

With over 1.2 million jobs created, India's mobile manufacturing sector is booming, reflecting the country's growing prowess in electronics exports, which soared nearly 24% to $29.12 billion in the same period, as per data unveiled by the commerce ministry.

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“Bach Ke Rehna Baba”: RBI Proposes Draft Rules To Regulate PoS For Online Payment Aggregators

The RBI is tightening the reins on online payment aggregators with proposed draft rules, putting the onus on them to monitor merchant transactions and adhere to the guidelines. With a deadline looming, payment aggregators must swiftly inform the regulator of their authorization plans within 60 days of the guidelines' release.

Banks are also on notice to pull the plug on non-bank payment providers by October 31, 2025, unless they've applied for RBI authorization, signaling a shift towards stricter regulatory oversight in the digital payments landscape.

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Fundraising and Financials

1. Wow! Momo's bagged INR 70 crore from Z3Partners to fuel its nationwide expansion spree, with a focus on enhancing distribution, R&D, and strengthening its FMCG arm.

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2. Former Unacademy executive-led gaming startup, LightFury, has secured $8.5 million to pioneer AAA game development in India, starting with mobile gaming and later branching out to other platforms.

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3. Microsoft's AI4A initiative throws its weight behind mental health startup IWill, funding its flagship product 'IWill GITA', an AI companion providing support in Hindi.

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4. Dubai-based anchor investors back Almonds Ai, a leading provider of B2B loyalty and channel partner engagement solutions, injecting capital to bolster regional resources and enhance technology.

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5. Fintech startup RING, formerly Kissht, secures a substantial INR 100 crore debt funding from Trifecta Capital, earmarked for on-lending and expanding its loan portfolio, solidifying its position in the lending tech landscape.

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6. Amwoodo, a Kolkata-based sustainability-focused startup, secures $1 million from Rainmatter, a Zerodha-backed venture fund. The funding will primarily drive capex for upgrading machinery, upskilling artisans, and fueling expansion endeavors.

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