Venture Spotlight

Welcome to our fortnightly newsletter where we share news, insights, and trends shaping the startup ecosystem!

Exploring Recent Startup Investment Trends

Icanheal Raises $1.8 Mn to expand its Healthcare Offerings

Icanheal, a Mumbai-based healthcare financing startup, secured $1.8 Mn in a seed funding round led by IvyCap Ventures. Founded by Girish Poddar and Amit Backliwal, Icanheal aims to make advanced medical treatments more affordable and accessible.

The funds will be used to enhance the platform's capabilities, specifically targeting patients with critical care diseases like cancer, by providing customized healthcare financing solutions to improve treatment adherence and overall patient outcomes.

Discover more about it here

Namma Yatri’s Parent Secures $11 Million in Pre-Series A Funding

Moving Tech, the company behind the community-led mobility apps Namma Yatri has raised $11 million in a pre-Series A funding round led by Blume Ventures and Antler, with participation from Google and other investors. Launched in 2022, Namma Yatri aims to create a transparent and efficient transportation ecosystem.

The platform has moved beyond just offering auto rides to its customers and offers cab aggregator services and has expanded beyond Bengaluru, in cities such as Kochi, Kolkata, and Chennai. The funds will be used to enhance technology, research, and product innovation, expanding their services in multiple cities.

Wish to know more? Click here to delve into the details

Devnagri Raises Pre-Series A Funding to Boost its GenAI Language Platform

Devnagri has secured undisclosed funding in a Pre-Series A round led by Inflection Point Ventures. The company focuses on helping businesses personalize content for non-English speaking audiences through its GenAI platform.

The startup plans to utilize the funds for technology enhancement, sales and marketing expansion, and R&D initiatives. Devnagri is poised to capitalize on the growing demand for hyper-local content and expand its reach in tier II and III cities.

You can get detailed insights here

ElectricPe Secures $3 Million to Expand EV Charging Network

EV charging aggregator ElectricPe has raised $3 million in its Pre-Series A funding round led by Green Frontier Capital, with participation from existing investors Blume Ventures, Micelio Fund, and NB Ventures. Founded in 2021, ElectricPe offers a platform for users to locate, access, and pay for EV charging points.

Beyond charging, the company also provides EV sales, financing, and servicing options. The fresh capital will be used for the expansion of its charging point network, enhancing its technology, and fuelling overall growth.

Read more about it here

Gnani.ai Secures $3 Million for scaling its AI Platform

Gnani.ai, a Bengaluru-based GenAI startup, has raised ~$ 3 million in fresh funding from Info Edge. Founded in 2017, Gnani.ai offers an AI-powered customer experience (CX) platform with two main products - Automate365: A virtual assistant that automates customer conversations and Assist365: A real-time agent guidance tool.

Gnani.ai supports both text and voice interactions, with voice biometrics for fraud detection. They currently offer speech engines in 10 Indian languages and serve over 40 lending companies. The new funding will be used to expand operations and boost sales, with a focus on scaling its AI CX solutions in the Indian market.

Discover more about it here

Ideas In Focus: Our Picks from Emerging Trends

Electric Mobility in India: FAME III on the Horizon

The Indian government is gearing up for the third phase of its ambitious Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme. This development signals a continued commitment to accelerating the adoption of electric vehicles (EVs) in one of the world's largest automotive markets.

FAME Initiative: A Brief Overview

The Faster Adoption and Manufacturing of Electric and Hybrid Vehicles in India (FAME India) Scheme is an incentive program to promote the adoption of hybrid and electric vehicles in India. Launched by the Ministry of Heavy Industries and Public Enterprises, the initiative is a crucial component of the National Electric Mobility Mission Plan.

Phase 1: 2015-2019 (Budget: Rs 895 crore)

Key Objectives:

? To promote the adoption of hybrid and electric vehicles

? To develop essential EV infrastructure

? To foster innovation in the EV industry

? To encourage environmental sustainability

Achievements:

? Incentives provided for over 2.8 lakh hybrid vehicles (with incentives of Rs 360 crore)

? Deployment of 425 electric and hybrid buses (with Rs 280 crore in incentives)

? 520 charging stations approved (with a budget of Rs 43 crore)

? Technological advancements supported (Rs 158 crore)

Phase II: 2019-Present (Budget: Rs 11,500 crore)

Key Objectives:

? Financial Incentives of more than Rs.10,000 crore for more than 7k e-buses, 5 lakh electric 3-wheelers, 55k electric 4-wheelers, and 10 lakh electric 2-wheelers

? Development of Infrastructure: 6,000+ charging stations by the end of 2021

? Technological Advancement: Promoting R&D in battery and EV technology

? To Local Manufacturing: Boost in domestic production

Progress (as of July 2024):

? Subsidies were claimed for 16,71,606 EVs (Rs 6,825 crore)

? A total of 6,862 electric buses were approved for intra-city operations of which 4,853 buses supplied

Recent Developments

? The Ministry of Heavy Industries has allocated Rs 800 crore as capital subsidy to three Oil Marketing Companies (OMCs) under the Ministry of Petroleum and Natural Gas for creation of 7,432 public charging stations of which Rs 560 crore have already been disbursed

? In March 2024, an additional Rs 73.50 crore was sanctioned to OMCs for setting up or upgrading 980 public fast charging stations of which Rs 51.45 crore have been released

? Under the scheme’s segment-specific targets regarding the number of vehicles to be supported electric two-wheelers had a target achievement of 75%

Phase III: What's in Store for the Next Phase?

The government is gearing up to introduce stricter localization norms for electric vehicle (EV) manufacturers under the upcoming FAME III scheme which is in the final stages however the timeline for rollout is yet to be announced.

The upcoming FAME III phase will introduce more stringent localization requirements for EV components which may have an impact on existing OEMs and stakeholders such as:

Reduced eligibility: The number of components eligible for incentives under the Phased Manufacturing Programme (PMP) are likely to be reduced from 18 to 12.

Mandatory domestic production: Components such as wiring harnesses, circuit breakers, connectors, and body panels will have to be manufactured locally.

PCB manufacturing: The government is pushing for domestic PCB production, a critical component of EV electronics.

Challenges for the EV Industry

The stricter localization norms pose the following challenges for EV manufacturers:

Limited domestic supply chain: India lacks a robust supply chain for many EV components.

Increased costs: Meeting localization requirements could lead to higher production costs for EVs.

Timely implementation: The industry may require sufficient time to adapt to the new norms and build necessary capabilities.

The government's focus on localization aims to boost domestic manufacturing and reduce reliance on imports. However, finding the right balance between promoting local production and ensuring the timely adoption of EVs is crucial.

While the exact contours of FAME III are yet to be finalized, the increased emphasis on localization is poised to shape the future of the Indian EV industry.

RBI Releases Draft Rules on AePS Touchpoint Operators to Combat Fraud

In a significant move to enhance the security of digital financial transactions, the Reserve Bank of India (RBI) has released draft directions for due diligence of Aadhaar Enabled Payment System (AePS) Touchpoint Operators. This development marks a crucial step in addressing the growing concerns around AePS frauds and strengthening India's digital financial infrastructure.

AePS Overview

? It is operated by the National Payment Corporation of India (NPCI)

? It is a payment system that facilitates transactions using an Aadhaar number and biometric/OTP authentication.

? It enables functions such as cash withdrawal, balance inquiry, mini statement, cash deposit, and fund transfer.

New Draft Directions for Due Diligence

? Banks must perform KYC of AePS operators per Master Direction – KYC Direction, 2016.

? KYC can be conducted using Aadhaar, PAN, or other valid documents (e.g., passport, driver’s license).

? Authentication can be done offline or via e-KYC from UIDAI.

? Digital signatures on official documents must be verified.

? KYC Methods can include a Video-Based Customer Identification Process (V-CIP) using OTP-based Aadhaar e-KYC, Offline Verification of Aadhaar, CKYCR records, or e-documents of OVDs.

? KYC updates are required if no financial transaction occurs for six consecutive months.

? Each AePS operator must be onboarded by a single acquiring bank.

Rising AePS-linked Frauds

The Indian Cyber Crime Coordination Centre (I4C) reported that 11% of financial cybercrimes in 2023 were related to biometric cloning and AePS-linked frauds.

Compromised Aadhaar numbers and fingerprint biometrics from various records have been exploited for AePS-linked frauds.

The draft directions from the RBI are a proactive step towards enhancing the security and reliability of the AePS ecosystem, ensuring robust due diligence, and minimizing fraud risks.

Our portfolio company VideoSDK is a leading Real-time video infrastructure company that enables web and app developers to integrate audio-video conferencing and interactive live streaming into various applications effortlessly.

Its enterprise-grade solutions boast amazing features such as a Global Latency of < 80 milliseconds, average call joining time of 0.7 seconds, 50% less call drop-off rates with adaptive bitrate, seamless auto-translation with 100+ languages and various Indian dialects. Their solutions are compatible with more than 98% of devices and browsers, are globally compliant with data security standards such as CERT-in, ISO:27001, HIPAA, SOC-2, GDPR, have High-grade Client-to-Server encryption, and are integrated with leading cloud providers for storage of recordings.

They have achieved impressive product market fit in the fintech, health-tech, ed-tech and HR-tech sectors specifically for use cases such as video-KYC process, virtual consultation calls between doctors and patients, virtual lectures, interviews, and webinars. Their marquee customers include Groww, ICICI Prudential, examedi, Coderschool, and Okadoc to name a few.

Creating live video infrastructure is a complex challenge that VideoSDK boldly tackled from the outset, recognizing issues like real-time video reliability, compatibility with various devices, and network inconsistencies. As one of the few companies innovating in this space, they focus on developing robust live video infrastructure enhanced by generative AI, utilizing neural encoders-decoders for improved compression and compatibility.

With the advent of 5G, fiber networks, and smart devices, the demand for live video applications is expected to surge, impacting both traditional markets and emerging sectors like gaming and the metaverse. We’re thrilled to support Video SDK in its mission to create advanced live video infrastructure for developers. Their pioneering approach to leveraging generative AI and machine learning to boost video quality and performance is revolutionary.

? 2024 GVFL Limited