Tech3 | Foreign law firms can set up shop in India; What’s special about OpenAI’s new GPT-4; and more

One important thing: In yet another case of an edtech startup facing a slowdown in demand and a lack of funding, Noon Academy laid off staff across roles in India after discontinuing classes, leaving students stranded, and delaying teachers' salaries for more than eight months.

• The Saudi Arabian startup had earlier said it would clear the dues by February 2023.?

Noon has requested an extension until May, claiming that it is waiting to close a funding round that was supposed to happen in January.

In today’s newsletter:

• Foreign law firms can set up shop in India
• What’s special about OpenAI’s new GPT-4
• Nazara Tech dodges SVB bullet

Foreign law firms can set up shop in India

After years of waiting, foreign law firms and lawyers have finally been allowed to set up shop in India.

What's the catch: The new rule, however, specifies the principle of reciprocity which means that only lawyers from countries that allow Indian advocates to practice in their country will be granted permission.

• Foreign lawyers are not permitted to argue cases before any Indian courts or statutory bodies
• They can only advise on foreign laws and participate in international arbitration matters in the country

The impact

Lawyers say that this is the first opening for global law firms to operate in India, paving the way for a gradual softening of rules to allow them greater participation.

• The move, according to TechLegis partner Salman Waris, will reduce the commissions earned by large Indian firms when they hire foreign counsels for domestic clients.
• It is also expected to promote India as an arbitration hub and compete with jurisdictions like Singapore, Dubai and Zurich for arbitration matters

The biggest immediate impact will be a price war for legal talent in India as foreign firms who set up shop here will raise wages, Waris said.

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