India’s “unicorn club” is expanding rapidly across sectors such as fintech

2022-08-16 0 By

In a recent report on the website of Fortune magazine, the epidemic has accelerated the virtualization of The Indian economy, investors continue to flock to India’s booming technology sector, and India’s “unicorn club” is growing rapidly.These companies are spread across fintech, food, education, media, blockchain and more.India welcomed its 13th unicorn — a start-up valued at more than $1bn — on March 23, marking one of the fastest periods of unicorn creation in the country to date.This time last year, five unicorns were born in India;From October to December last year, 15 were born.For the whole of 2021, India added 44 unicorns, dwarfing the total of 37 in the previous decade.Indian start-ups raised $35bn in 2021, three times as much as the previous year, according to PWC.India’s latest the unicorn company is based in gurgaon, India, xizor financial services company, led in the wave of “alpha” company, “tiger” global management company, north west, risk investment, the count of venture capital and new investment company with a $200 million financing, oker xizor financial services company valued at $1 billion.There are now 94 unicorns in India with a total valuation of $319.67 billion, with education technology company Byjus topping the list.In mid-March, Biju was valued at $22bn after an $800m funding round from three venture capital firms, including Venn Capital.”The kind of enthusiasm that is now surrounding India was seen in China 15 years ago,” said Manisha Girotra, CEO of Meritor Consulting (India).India’s new unicorn start-ups cover a wide range of sectors, with fintech and e-commerce accounting for about 50 percent of total investment, according to business Today.Health technology, media technology, food technology and electronic technology together account for about 35% of the total investment.On March 20, for example, Amargiel, a Bangalore-based media technology company, raised $95 million in a funding round led by Venture capital firm Accel, valuing the company at just over $1 billion.Other new entrants to the unicorn club include Flactar Analytics, an analytics solution-related firm, “Lead” educational technology, and Darwin’s Box, an hr technology company, all valued at around $1 billion.Polygon, an Ethereum-based blockchain provider, is the most valuable startup to add unicorns this year.In fact, Polygon has reached the decagon scale.The company raised $450 million in a new funding round led by Sequoia Capital India in February, valuing the company at more than $10 billion.Food technology, online gaming and agricultural technology are the three sectors that will see the fastest growth from 2016 to 2021, according to the Indian Business Online magazine website.Why are India’s unicorns springing up like mushrooms?”We are seeing an acceleration of the virtualization of the Indian economy and a sustained enthusiasm for investment around the Indian tech sector,” Girotra explains.The novel Coronavirus pandemic is forcing consumers to go online, where they shop for everything from groceries to medicines, fueling the rapid growth of technology start-ups.In the first year of the outbreak, India’s online population increased by 4%.As of March 2021, 825 million of India’s 1.3 billion people were using the Internet, according to data provided by the Telecommunications Authority of India.The number of smartphone users in India also surged to 800 million in 2021.The number of smartphone users in India is expected to rise to 1 billion by 2026, consultancy Deloitte said in a report last month.As a result, accounting firm pricewaterhousecoopers predicts that the birth of unicorns in India will accelerate in 2022, adding more than 100 unicorns this year.Nitin Rakesh, chief executive of technology company Evics, attributes India’s growing number of tech professionals, an untapped digital audience and a growing pool of innovative entrepreneurs to the three reasons behind the emergence of Indian unicorns.Amit Nokar, partner at pricewaterhousecoopers India and head of Indian start-ups, said the rise of smaller companies was also contributing to the rise of unicorns in India.Financing deals for Indian start-ups valued at $100m – $200m have risen sharply since last year.India has about 400 start-ups valued at around 1 billion rupees ($13.5 million), making them fertile ground for more investment and the birth of unicorns.Today’s business magazine pointed out that in addition to the above factors, the increase of the high speed Internet access (due to the popularity of optical fiber and the upcoming 5 g technology), mobile applications, higher participation (since 2019, the average time of each user on your mobile device has increased by 1.5 times), brand to transfer advertising budget to the digital platform, etc.,It’s also a big part of why unicorn startups keep popping up.Source: Science and Technology Daily reporter Liu Xia contribution/suggestion: geyan@ccpit.org