<ul><li>Kunal Shah-led <keyword id="1763236" type="General" weightage="20" keywordseo="cred" source="Orion">CRED</keyword> has increased its ESOP pool by $143 million.</li><li>This means that the employees at CRED will collectively hold up to 12.5% of this $4.01 billion business.</li><li>Every team member at CRED, regardless of their tenure or job profile, gets a stake in the company.</li></ul>Kunal Shah-led CRED has increased its employee stock option (<keyword id="173739" type="General" weightage="20" keywordseo="esops" source="Orion">ESOPs</keyword>) pool by $143 million taking the total tally to half a billion dollars. This means that the employees at CRED will collectively hold up to 12.5% of this $4.01 billion business, the fintech startup told Business Insider. The company also highlighted that every team member at CRED, regardless of their tenure or job profile, gets stock in the company. Currently, CRED has a team size of 600 employees. The company did not reveal the exercise price, the price at which employees can buy these stock options for. However, it is usually at a discount compared to the price at which investors invest. “This is aligned with the culture of ownership and wealth creation that we drive as an organisation. Our growth is due to the commitment of our team and we will continue to support them to leverage ESOPs for their own wealth creation journeys,” the three-year-old company said. The company also runs an Accelerated Wealth Programme, where team members can choose up to 50% of their annual cash compensation in the form of special grant ESOPs. “Our ratio of ESOP pool per employee is amongst the highest in the industry,” the company claims. According to a<a href="https://www.businessinsider.in/business/startups/news/nykaa-zomato-paytm-oyo-and-policybazaar-made-their-employees-millionaires/slidelist/88552831.cms"> report </a>by Longhouse Consulting, Flipkart has created the largest ESOPs pool of $2.26 billion (₹17,000 crore). It is followed by Zomato with $750 million, Paytm with $610 million and Nykaa with a $570 million pool. Founded in 2018, CRED started off as a credit card bill payments app. Over the years, it has entered e-commerce, lending, payments and now investment segments. The company currently claims to have over 9.5 million users. About 25-30% of all credit card bill payments in India are processed by CRED, founder and chief executive officer Shah had previously mentioned. CRED has raised <a href="https://www.businessinsider.in/business/startups/news/kunal-shahs-cred-doubles-its-valuation-to-4-billion-in-less-than-six-months/articleshow/87129405.cms">over $700 million to date </a>and is backed by marquee investors like Tiger Global, DST Global, Sofina, Dragoneer Investment Corp and Steadfast Capital management to name a few. SEE ALSO <a class="tout-title-link" href="https://www.businessinsider.in/stock-market/news/hul-bajaj-auto-lampt-infotech-and-other-hot-stocks-on-january-20/slidelist/89008387.cms">HUL, Bajaj Auto, L&amp;T Infotech and other hot stocks on January 20</a> <a href="https://www.businessinsider.in/india/news/indias-daily-covid-19-count-surpasses-three-lakh-after-eight-months/articleshow/89009476.cms">India’s daily COVID-19 count surpasses three lakh after eight months, Omicron tally climbs to 9,287</a> <a href="https://www.businessinsider.in/tech/news/best-deals-and-offers-on-echo-smart-speakers-fire-tv-sticks-on-amazon-sale/articleshow/88997777.cms">Amazon Republic Day Sale 2022 — Best deals and offers on Echo smart speakers, Fire TV Sticks and more</a>

CRED says that all its employees get stock options, expands pool to $500 million

Corporate expense management platform <keyword id="2738808" type="General" weightage="100" keywordseo="happay" source="Orion">Happay</keyword>, owned by credit <keyword id="6360117" type="General" weightage="50" keywordseo="card" source="Orion">Card</keyword> bill payment provider CRED, has slashed nearly 35 per cent of its workforce as part of a restructuring exercise, the media reported. According to leading startup news portal Inc42, at least 160 employees from departments like sales, marketing, tech, product, and operations, have been asked to go by the platform. According to the report, Happay is giving impacted employees three months salary along with an extension of insurance coverage and some other additional benefits. When reached, CRED did not immediately comment on layoffs at Happay, which it acquired in December 2021 in a cash and stock deal that valued Happay at $180 million. "With professional expenses forming a significant portion of credit card spends, bringing professional expense management into the CRED ecosystem is a natural extension of our proposition," <keyword id="192201" type="General" weightage="50" keywordseo="kunal-shah" source="Orion">Kunal Shah</keyword>, founder, CRED, had said in a statement during the acquisition. While Happay operated as a separate entity, the team worked closely with CRED leadership to leverage its ecosystem, build distribution, expand the product offering and drive scale. CRED last year acquired SaaS lending-as-a-service platform CreditVidya in a mix of cash and stock transaction for an undisclosed sum. SEE ALSO: <a href="https://www.businessinsider.in/finance/news/fii-inflows-may-remain-consistent-in-may-with-turn-in-rate-cycle/articleshow/100234813.cms">FII inflows may remain consistent in May with turn in rate cycle</a> <a href="https://www.businessinsider.in/stock-market/news/fears-of-a-us-debt-default-are-mounting-as-the-deadline-to-lift-the-borrowing-limit-looms-heres-what-elon-musk-paul-krugman-and-jamie-dimon-have-warned-/articleshow/100229208.cms">Fears of a US debt default are mounting as the deadline to lift the borrowing limit looms. Here's what Elon Musk, Paul Krugman and Jamie Dimon have warned.</a> <a href="https://www.businessinsider.in/tech/news/heres-how-googles-new-ai-updates-will-transform-your-search-experience/articleshow/100242791.cms">Here’s how Google’s new AI updates will transform your search experience</a>

CRED-owned Happay lays off 35% of its workforce

<ul><li>Shares of two wheeler maker Bajaj Auto slipped 4% as investors were disappointed with the company’s falling profitability.</li><li>The company’s net profit slumped 22% year-on-year in the December quarter at ₹1,429 crore.</li><li> Further, the company reportedly sees negative industry growth in the next quarter.</li></ul>Shares of Pune-based two wheeler maker Bajaj Auto slipped 4% on Thursday as investors were disappointed with the weak financial performance in October to December quarter. The two wheeler industry is currently reeling under weak demand due lockdown situations and increased cost of vehicles in the last two years. The transition to stricter emission standards, several price hikes by automakers, rising fuel prices and dented purchasing power due to the pandemic has increased the cost of vehicles and impacted the overall demand. In the December quarter, the company’s net profit slumped 22% year-on-year to ₹1,214 crore. According to a CNBC-TV18 <a href="https://www.cnbctv18.com/market/stocks/bajaj-auto-share-price-q3-results-bajaj-auto-stock-price-december-quarter-earnings-12183902.htm">report</a>, the company is now preparing itself for negative industry growth in Q4 (Jan-Mar). Net profit per vehicle for the company is down by 20% year-on-year to ₹9,585 crore. Analysts at ICICIdirect expect the domestic two-wheeler market to revive post FY22 earnings along with domestic three-wheeler sales from a low base on easing of COVID-19 restrictions. <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"><colgroup></colgroup><col /><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Bajaj Auto </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Revenue </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Net Profit </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Oct-Dec FY22 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹9,021 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹1,429 crore </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Jul-Sep FY22 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹8,762 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹2,039 crore </td></tr></tbody></table>On January 20, shares of Bajaj Auto slipped 4% to ₹3,309.50 as investors were disappointed with the company’s falling profitability. <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"><colgroup></colgroup><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Brokerage firm </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Target price </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">ICICIdirect </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹3,444 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Jefferies </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹3,800 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Motilal Oswal </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹3,400 </td></tr></tbody></table> SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/stock-market/news/adani-green-jumped-45-in-2022-so-far-to-become-more-valuable-than-lt-maruti-suzuki-axis-bank/articleshow/89013318.cms">Adani Green Energy stock has jumped 45% this year to become more valuable than L&amp;T, Maruti Suzuki, and Axis Bank</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/startups/news/cred-expands-esops-pool-to-500-million-employees-can-own-12-5-of-fintech-startup/articleshow/89010053.cms">CRED says that all its employees get stock options, expands pool to $500 million</a>

As tepid two wheeler sales hurt Bajaj Auto’s profitability, stock slides 4%

<ul><li>The Microsoft-backed startup has announced the distribution of $739,000 (over ₹5 crore) to liquidate eligible ESOP options. </li><li>In this programme, which is a first for the company, eligible employees can liquidate 35% of their shares. </li><li>With the announcement, <keyword id="3966270" type="PERSON" weightage="20" keywordseo="FarEye">FarEye</keyword> joins the long list of <keyword id="6362513" type="UNKNOWN" weightage="20" keywordseo="startups">startups</keyword> who have been doling out rewards in <keyword id="173739" type="PERSON" weightage="20" keywordseo="Esops">ESOPs</keyword> to employees.</li></ul>Indian logistics platform FarEye is the latest to dole out rewards for employees by announcing a liquidation programme for ESOPs (Employee Stock Option Programme). The Microsoft-backed startup has announced the distribution of $739,000 (over ₹5 crore) to liquidate eligible ESOP options. In this programme, which is a first for the company, eligible employees can liquidate 35% of their shares. “We announced this liquidation to make employees partners in our success and to ensure they are able to create wealth for themselves and their families. The team has been able to generate significant liquidity for themselves, which gives us immense happiness &amp; satisfaction. With this program, we will be able to reward our most important asset - our employees,” said Kushal Nahata, CEO, FarEye in a statement. With the announcement, FarEye joins the long list of startups who have been doling out rewards in terms of ESOPs to employees. Recent startups which rolled out ESOP buyback plans <table style="border-width: initial; border-style: none; width: 468pt; table-layout: fixed;"><colgroup></colgroup><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Swiggy </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$7-9 million <a href="https://entrackr.com/2020/11/swiggy-to-reward-its-employees-with-esop-liquidity-program/">(reported value)</a> </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Unacademy </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$4 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Urban Company </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$5 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Zerodha </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$8.7 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">CRED </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$1.2 million </td></tr></tbody></table> During the lockdown months, FarEye saw a spike in usage, expanded internationally and most recently raised $13 million in funding, closing the round where it raised $24.5 million in April. FarEye saw a month-on-month 180% increase in usage during the lockdown months as it enabled B2B (business to business) and B2C (Business to consumer) last mile delivery. “The sector in which we operate is currently digitized to less than 10%, so there is a race for the rest 90%. We want to separate out in the play where the SAPs, Oracles operate. The last mile market is reported to be $55 billion by 2025, our aim is to be in the top 4 players in the market and for that you need just 5% of the market,” Amit Bagga, Chief Revenue Officer, FarEye told Business Insider in a<a href="https://www.businessinsider.in/business/startups/news/microsoft-backed-fareye-sees-a-trillion-dollars-in-wasted-costs-across-the-global-supply-chain/articleshow/77864135.cms"> recent interview.</a> The Microsoft-backed 11-year old startup offers predictive analysis in the logistics sectors – where it gives its clients visibility over demand and buying trends. It works across channels – from manufacturers to retailers. Some of FarEye’s current clients are DHL, Amway, Hilti, Walmart, Domino’s, and Zomato.

FarEye is the latest to buy back shares from employees —  to liquidate ESOPs worth over ₹5 crore

Citi is betting big on high-profile executives to turn things around 

<ul><li>Around 50% of service professionals associated with <keyword id="8681398" type="General" weightage="20" keywordseo="urban-company" source="Orion">Urban Company</keyword> earned ₹30,455 per month.</li><li>Hourly earnings for female partners listed on the platform stood at ₹312 per hour, the company added.</li><li>Over 100 female beauticians had protested against the company in October.</li></ul>The top 20% of Urban Company professionals — across on-demand beauty and home services — earned at least ₹38,263 per month as the average payout increased 11% in the December quarter, the seven-year-old company claims in its latest report. Around 50% of service professionals associated with Urban Company — who completed more than 30 orders in a month or worked for more than 100 hours per month — earned ₹30,455 per month, the company added. The company —<a href="https://www.businessinsider.in/business/startups/news/is-urban-company-heading-the-ola-uber-way-with-over-100-beauticians-taking-to-the-street/articleshow/86935701.cms"> which was surrounded by protests last quarter</a> — mentioned that the average payout to partners increased to ₹297 per hour. This is net of all commissions, fees, product and travel cost that a partner would have incurred in order to provide a service. Hourly earnings for female partners listed on the platform stood at ₹312 per hour, which is about 5% higher than the platform’s average. “As per a detailed third-party <a href="https://ucblogger.medium.com/earnings-index-benchmarking-report-uc-service-professionals-vs-off-the-platform-workers-bc114d42b494">benchmarking study</a> done by PGA Labs, UC [Urban Company] partners on average make about 50% higher monthly earnings than their offline counterparts and almost 4x [times] the hourly earnings,” the report read. Over 100 female beauticians had protested against the company in October, seeking better working conditions and fair wage mechanisms. <div type="image" title="Urban Company says that its professionals earned at least ₹297 per hour in October" msid="89017382" hostid="261"></div> The company had <a href="https://www.businessinsider.in/business/startups/news/urban-company-has-announced-a-12-point-agenda-to-improve-partner-earnings-after-over-100-workers-protest/articleshow/87015949.cms">met all these demands </a>raised by these female partners, however, another series of protests began in December. Urban Company ended up serving a legal notice to its female contractual workers who were protesting outside their office in the last month of 2021. The company had also <a href="https://www.businessinsider.in/business/startups/news/urban-company-ola-uber-are-not-the-best-places-for-gig-workers/articleshow/88561764.cms">lost its top rank in the FairWork Index </a>of 2021 to Flipkart as the working conditions on the platform allegedly deteriorated. The Fairwork India Rating 2021 Report judges several digital companies like Flipkart, Uber, Ola, Zomato and Swiggy based on their treatment of gig workers. SEE ALSO <a href="https://www.businessinsider.in/business/news/justdial-cant-beat-google-and-it-should-stop-trying-to-say-analysts/articleshow/89010438.cms" data-type="tilCustomLink">JustDial can’t beat Google and it should stop trying to, say analysts</a> <a href="https://www.businessinsider.in/business/startups/news/cred-expands-esops-pool-to-500-million-employees-can-own-12-5-of-fintech-startup/articleshow/89010053.cms">CRED says that all its employees get stock options, expands pool to $500 million</a> <a href="https://www.businessinsider.in/india/news/indias-daily-covid-19-count-surpasses-three-lakh-after-eight-months/articleshow/89009476.cms">India’s daily COVID-19 count surpasses three lakh after eight months, Omicron tally climbs to 9,287</a>

One in five Urban Company professionals took home at least ₹38,000 a month, claims the company

<ul><li>Creators and influencers on <keyword id="819905" type="General" weightage="20" keywordseo="Instagram" source="Orion">Instagram</keyword> can now monetise their content by allowing their fans to ‘subscribe’ to them.</li><li>Fans, in return, get loyalty badges, exclusive access to content and more.</li><li>Instagram says it won’t charge a commission at least until 2023.</li></ul> Facebook-owned Instagram has rolled out a new way to help creators monetise their content – subscriptions. The new feature allows Instagram users to subscribe for exclusive content from their favourite creators, like Instagram Live streams and badges, among other things. Instagram is currently <a href="https://business.instagram.com/blog/subscriptions-creators-instagram-recurring-monthly-income/">testing</a> this feature with a small number of creators and influencers in the US. The company noted that subscriptions will be expanded to include more creators in the coming weeks. For starters, fans will have to pay a monthly subscription fee to view exclusive content from their favourite creators. This will give them access to subscriber-only Lives and Stories, apart from a purple badge that will show their status as a subscriber to the content creator. Instagram says that the price tiers will range from $0.99 to $99 per month – ultimately, creators will have the freedom to choose their prices. And to promote this feature, Instagram says that it won’t charge a commission to creators ‘at least until 2023’, so there’s still a year to go for the company as well as the creators to test out this new feature. <cmsannotation type="cmsannotation" annotationid="Instagram isn’t the first with paid subscriber-only plans" comment="subhead" text="Instagram isn’t the first with paid subscriber-only plans">Instagram isn’t the first with paid subscriber-only plans</cmsannotation> While Instagram’s subscription model could end up being the most useful for both creators as well as users, the Facebook-owned photo sharing service isn’t the first to offer subscriptions. Its rival Twitter has had the Super Follow feature for a while now, allowing users to pay between $2.99 to $9.99 a month to get exclusive content from their favourite creators. Facebook, too, has had subscriptions for a while now. But coming back to Instagram, subscriptions are one of the few options available to creators for monetisation. There are other options like Creator Shops, affiliate e-commerce, branded content marketplace, among other things. On the other hand, YouTube has had subscriptions for a long time now, allowing its users to become “members” of their favourite channels, giving access to loyalty badges, custom emoji, exclusive access to behind-the-scenes photos and videos, live streams and more. Outside of social media, websites like Patreon, Kickstarter, Ko-Fi are a few other options that allow content creators to monetise their audience. SEE ALSO: <a href="https://www.businessinsider.in/business/startups/news/cred-expands-esops-pool-to-500-million-employees-can-own-12-5-of-fintech-startup/articleshow/89010053.cms">CRED says that all its employees get stock options, expands pool to $500 million</a> <a href="https://www.businessinsider.in/science/space/news/scientists-find-new-evidence-of-an-internal-ocean-in-saturns-death-star-moon-mimas/articleshow/89009893.cms">Scientists find new evidence of an internal ocean in Saturn’s ‘Death Star’ moon Mimas</a> <a href="https://www.businessinsider.in/tech/news/call-of-duty-diablo-and-overwatch-are-among-the-major-titles-expected-to-be-made-available-on-xbox-game-pass/articleshow/88989516.cms">Call of Duty, Diablo and Overwatch are among the major titles expected to be made available on Xbox Game Pass</a>

Instagram launches subscriptions to help creators monetise their content

<ul><li><keyword id="430602" type="General" weightage="20" keywordseo="justdial" source="Orion">JustDial</keyword>’s operating revenue declined 6% last quarter compared to the same time period last year.</li><li>This comes as a surprise as the festive season of October-December quarter is usually the best time for any consumer-facing business.</li><li>While the recent management change after Reliance acquisition may be one reason for the recent decline, over-diversification may be another.</li></ul>While many other digital businesses like Zomato, Nykaa and Paytm have recovered from the impact of COVID-19 a long time ago, JustDial seems stuck. Market watchers say it could be because the app is trying to be Google, without the resources to be one. Once again, JustDial's quarterly revenue declined on a year-on-year basis, which is a cause of concern since October-December quarter is usually the best time for any consumer-facing business. It is the time when customers are on a spending spree because of the festive season of Diwali and Christmas. However, the decline in JustDial’s operating revenue came as a surprise, especially when the company seems to offer every service that can be sold online. The stock was down over 3% on January 19, the first trading day after the earnings were reported. <div type="image" title="JustDial can’t beat Google and it should stop trying to, say analysts" msid="89011002" hostid="261"></div> From food to flight tickets, from delivery services to at-home beauty services, you name it and JustDial would have a seller on its platform. Yet, the revenue declined. Market watchers say, being a jack of all trades may not be working well for this 26-year-old company. Neha Khanna, director at Value Prolific (ValPro) Capital, tells Business Insider that JustDial has spread itself too thin and it has made it susceptible to competition from all sides. <div type="image" title="JustDial can’t beat Google and it should stop trying to, say analysts" msid="89010548" hostid="261"></div> JustDial — which offers at least 14 different services — is currently in competition with all the big newage digital businesses one can think of. Few examples include Paytm, BharatPe, Google Pay, PhonePe and others for its payments/fintech business, BigBasket for its grocery delivery business, Zomato and Swiggy for food delivery business, and Urban Company for at-home services vertical. <div type="image" title="JustDial can’t beat Google and it should stop trying to, say analysts" msid="89013326" hostid="261"></div> This stands true that JustDial is a discovery business, therefore, it simply has to sign up vendors/professionals willing to offer the service. It is still not doing the company any favour. “Google has taken away their core offering [of services discovery], and other players are emerging much stronger in different verticals,” Khanna says while explaining the knots in JustDial’s business. Yash Gupta, Equity Research Analyst at AngelOne, tells Business Insider that the nominal decline in JustDial’s business in the third quarter could also be attributed to the recent<a href="https://www.businessinsider.in/business/corporates/news/just-dial-share-price-surge-as-mukesh-ambani-is-looking-to-buy-just-dial/articleshow/84432450.cms"> management change</a> after the Reliance Retail acquisition. There is usually a dull period for the stock due to cleaning of the balance sheet, he notes. But that could only be a part of the reason. Gupta explains that JustDial is a ‘pull’ sort of business model, where they need to go to customers and get them to start paying for its services. Meanwhile, other companies — such as Zomato, Swiggy, and even Google — where customers come on their own. This becomes the first challenge for the company. Secondly, the failure of JD Mart — the business-to-business (B2B) ecommerce marketplace of JustDial — to do anything substantial in the three quarters has further disappointed the people who keep track of this space, Gupta added. JD Mart competes with IndiaMart, which has been <a href="https://www.businessinsider.in/stock-market/news/indiamart-share-price-has-gone-up-five-times-in-just-the-last-18-months-here-is-why/articleshow/86058084.cms">reporting higher revenue </a>than JustDial for the past two years by focusing on B2B ecommerce. The crux of all these problems is over-diversification that prevents it from going big in one segment, Gupta says. They would have done much better if they focused on one vertical, he adds. ALSO WATCH: A ₹3,000 crore fund manager says even conglomerates in India struggle the moment they have more than two verticals ⁠⁠ <div type="Youtube" id="kSf5f3gXjKg" title="A ₹3,000-crore fund manager explains why he won&amp;#39;t buy RIL, why he sold ITC and bought HDFC Life" thumbUrl="https://i.ytimg.com/vi/kSf5f3gXjKg/mqdefault.jpg"></div> The common thread running in what both Valpro and AngelOne analysts are saying is the fact that both have not been able to figure out why Reliance decided to acquire JustDial. “I don’t really see any value proposition for Reliance in JustDial,'' says ValPro’s Khanna. Things can become clear one Reliance unfolds its plan for JustDial, AngelOne’s Gupta adds. <div type="image" title="JustDial can’t beat Google and it should stop trying to, say analysts" msid="89013331" hostid="261"></div> SEE ALSO <a href="https://www.businessinsider.in/business/startups/news/cred-expands-esops-pool-to-500-million-employees-can-own-12-5-of-fintech-startup/articleshow/89010053.cms">CRED says that all its employees get stock options, expands pool to $500 million</a> <a href="https://www.businessinsider.in/stock-market/news/hul-bajaj-auto-lampt-infotech-and-other-hot-stocks-on-january-20/slidelist/89008387.cms">HUL, Bajaj Auto, L&amp;T Infotech and other hot stocks on January 20</a> <a href="https://www.businessinsider.in/india/news/indias-daily-covid-19-count-surpasses-three-lakh-after-eight-months/articleshow/89009476.cms">India’s daily COVID-19 count surpasses three lakh after eight months, Omicron tally climbs to 9,287</a>

JustDial can’t beat Google and it should stop trying to, say analysts

<ul><li>Logistics startup Locus just raised $50 million in Series C round of funding from Singapore’s GIC, Qualcomm Ventures, CRED CEO Kunal Shah and others.</li><li>The Bengaluru-based startup plans on using the funds to double its patents over the next one year, hire more data scientists and expand into Latin America.</li><li>The company’s plan to innovate may have something to do with India’s new guidelines for geospatial data and services, which would help Locus create its own in house mapping solutions.</li></ul>Locus, a Bengaluru-based logistics startup, has raised $50 million in its Series C round of funding led by Singapore’s sovereign wealth fund, GIC. The fresh capital will be used to expand the team, reach new geographies and grow the product portfolio, according to the company. “We will be recruiting more PhDs in our data science team and are looking to double our patents by 2022,” said Locus chief executive Nishith Rastogi. The startup currently has 10 patents in its kitty and wants another 10 in the next one year. And, it plans on using the liberalisation of India’s geospatial data to do it. <cmsannotation type="cmsannotation" annotationid="Creating custom maps for e-commerce and other clients" comment="subhead" text="Creating custom maps for e-commerce and other clients">Creating custom maps for e-commerce and other clients</cmsannotation> “Given that we’ve been training our algorithms with data across sectors like e-commerce, FMCG [fast moving consumer goods], e-grocery, etc, we can potentially come up with forward-looking custom maps to serve certain client requirements,” Rastogi told Business Insider. As a logistics startup, Locus uses mapping to configure routes that would minimise the distance in supply chains. In order to create accurate maps, it needs accurate data from satellites. In India, getting access to that data was a hurdle — that is until February 2021, when the Indian government introduced new guidelines, which opened up the treasure trove of data to everyone for free. “The opening up of geospatial data in India will certainly aid in better innovation… These patents will be heavily data-driven,” he explained. <cmsannotation type="cmsannotation" annotationid="Boost in IP creation needs a boost of manpower" comment="subhead" text="Boost in IP creation needs a boost of manpower">Boost in IP creation needs a boost of manpower</cmsannotation> In addition to mapping, Locus is working on a slew of other products as well. “We are building the end-to-end stack for all direct-to-customer and last-mile delivery requirements,” said Rastogi. This includes products like NodelQ, which was launched earlier this year in April. The solution is meant to optimise the movement of goods, optimise stock levels, and find locations that can address any supply or demand gaps. In order to create more solutions like NodelQ, Locus needs more data scientists on board. As of March 2021, the startup’s headcount stood at 200 employees. The company did not disclose how many more employees it plans to hire with the new capital. <cmsannotation type="cmsannotation" annotationid="Locus is already present in three continents, and is looking to enter one more" comment="subhead" text="Locus is already present in three continents, and is looking to enter one more">Locus is already present in three continents, and is looking to enter one more</cmsannotation> Locus already has offices in seven countries including India, the US, the UK and Singapore. And its operations extend from North America to Southeast Asia, Europe and the Indian subcontinent. “Other than the geographies we are already present in, we are also investing heavily in Latin America and aggressively building our presence there,” said Rastogi. The Series C round of funding saw participation from the investment arm of the world’s leading chipmaker, Qualcomm Ventures, CRED chief executive officer (CEO) Kunal Shah and CEO of Pine Labs Amrish Rau. Locus’ existing investors include Tiger Global and Falcon Edge. The company has raised a sum total of $30 million in external funding, so far. SEE ALSO: <a href="https://www.businessinsider.in/business/corporates/news/backed-by-mukesh-ambani-infibeam-expects-business-to-grow-manifold-to-100-billion-dollars/articleshow/83111869.cms">INTERVIEW: With a partner like Mukesh Ambani's Jio, Infibeam expects to hit $100 billion in online transactions in the next 5 years</a> <a href="https://www.businessinsider.in/stock-market/economy/news/indias-gdp-has-contracted-five-times-since-1947-but-never-as-bad-as-7-3/articleshow/83135455.cms">India’s GDP has contracted five times since 1947, but never as bad as 7.3%</a> <a href="https://www.businessinsider.in/business/corporates/news/infosys-new-insider-trading-case-shows-that-employees-made-rs-3-crore/articleshow/83144170.cms">Here's how Infosys employees shared insider information that turned a chunky profit of ₹3 crore</a>

Logistics startup Locus raises $50 million in Series C — aims to double its patents by 2022 and hire more data scientists

<ul><li>With <keyword id="8420431" type="UNKNOWN" weightage="20" keywordseo="budget-2021">Budget 2021</keyword> around the corner, India’s IT body NASSCOM has submitted its suggestions for <keyword id="6362513" type="UNKNOWN" weightage="20" keywordseo="startups">startups</keyword> which includes further tax relaxations for employee stock ownership plans. </li><li>NASSCOM’s public policy head said that <keyword id="173739" type="PERSON" weightage="20" keywordseo="Esops">ESOPs</keyword> should be taxed only when an employee sells the shares.</li><li>During Budget 2020, Finance Minister Nirmala Sitharaman had said that ESOPs can be taxed within five years or when they leave the company or when they sell their shares, whichever is earliest.</li></ul>When India’s Finance Minister Nirmala Sitharaman announced tax relaxations for Employee Stock Ownership Plans (ESOPs) during Budget 2020, India’s entrepreneurs welcomed the decision. But one year down the line, they are having second thoughts. “The Finance Minister had relaxed the conditions with respect to the Employee Stock Ownership Plans but that’s not sufficient based on the industry feedback. What the industry really requires is that the liability of paying the tax should be deferred to the time when the shares are actually sold by the employees,” Ashish Aggarwal, Nasscom’s Public Policy head <a href="https://twitter.com/nasscom/status/1352200095735791617">shared </a>the suggestions the IT body has sent to the government. <table style="border-width: initial; border-style: none; width: 468pt; table-layout: fixed;"><colgroup></colgroup><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">What Budget 2020 said </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Budget 2021 demand from NASSCOM </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">ESOPs can be taxed within five years or when they leave the company or when they sell their shares, whichever is earliest. </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">ESOPs should be taxed only when an employee sells the shares, when they have the liquidity. </td></tr></tbody></table> Entrepreneurs too agree. “Most startups, irrespective of the sector they operate in, typically take more than five years to list themselves in the stock exchange and become a listed company or carry out an exit or sell-out. Second, it does not apply to an employee who is exiting a company as an employee. So, a person who has already spent several years in a company and wishes to move on, his ESOPs earned during employment will not be eligible for deferment of taxes. In crux, I would urge the government to review these preconditions to support the startup industry at large,” said Ankit Prasad, Founder and CEO, Bobble AI. In the past year, multiple startups have been buying back shares from their employees as a way of rewarding them. Recent startups which rolled out ESOP buyback plans <table style="border-width: initial; border-style: none; width: 468pt; table-layout: fixed;"><colgroup></colgroup><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Swiggy </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$7-9 million <a href="https://entrackr.com/2020/11/swiggy-to-reward-its-employees-with-esop-liquidity-program/">(reported value)</a> </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Unacademy </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$4 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Urban Company </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$5 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Zerodha </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$8.7 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">CRED </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">$1.2 million </td></tr></tbody></table> However, Archit Gupta, founder and CEO of ClearTax believes that just deferment of tax isn’t enough, instead some exemption of tax on sale of ESOPs should be brought in. “It can become an effective means to attract and retain talent,” Gupta told Business Insider. But a crucial question still remains – who can avail this benefit? Aggarwal said the benefit should be extended to all startups and not just eligible startups. “DPIIT on its platform has over 40,000 startups but out of that only 400 are eligible startups, who have got an approval of certification for tax benefits,” he said. SEE ALSO: <a href="https://www.businessinsider.in/defense/news/us-new-president-joe-biden-will-oppose-new-delhis-5-5-billion-deal-with-russia-for-the-s-400-missile-as-per-washington-d-c-based-expert/articleshow/80382062.cms">INTERVIEW: Joe Biden may be as harsh as Donald Trump if India insists on buying S-400 missiles from Russia, says a Washington D.C-based expert</a> <a href="https://www.businessinsider.in/business/auto/news/bajaj-auto-just-posted-a-record-quarter-as-pent-up-demand-brings-highest-ever-sales-for-its-signature-bikes-pulsar-and-boxer/articleshow/80384430.cms">Bajaj Auto just posted a ‘record quarter’ as pent up demand brings highest ever sales for its signature bikes – Pulsar and Boxer</a>

NASSCOM says Budget 2021 should ensure ESOPs are taxed only when shares are sold

<ul><li>Online investment platform <keyword id="6189412" type="UNKNOWN" weightage="20" keywordseo="Groww">Groww</keyword> has raised $83 million at a billion dollar valuation from Tiger Global.</li><li>The investment also saw participation from existing investors Sequoia India, Ribbit Capital, YC Continuity and Propel Venture Partners.</li><li>Groww becomes the fourth unicorn in this week alone and the eighth unicorn of 2021 so far.</li></ul>Online investment platform Groww has <a href="https://economictimes.indiatimes.com/tech/funding/online-investment-app-groww-raises-fresh-funds-led-by-tiger-valuation-jumps-to-1-billion/articleshow/81951257.cms">raised</a> $83 million at a billion dollar valuation from US-based investor Tiger Global. The investment also saw participation from existing investors Sequoia India, Ribbit Capital, YC Continuity and Propel Venture Partners. The <keyword id="138263" type="PERSON" weightage="20" keywordseo="startup">startup</keyword> had last raised $30 million in Series C led by YC Continuity in September 2020. With this, Groww becomes the fourth startup to be catapulted to unicorn status this week alone and the eighth unicorn of 2021, so far. <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"><colgroup></colgroup><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Digit Insurance </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">January 15 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Innovaccer </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">February 24 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Infra.Market </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">February 26 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Five Star Business Finance </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">March 27 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Meesho </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">April 5 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">CRED </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">April 6 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Pharmeasy </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">April 7 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Groww </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">April 7 </td></tr></tbody></table> Groww is a stockbroking startup founded by former Flipkart employees – Lalit Keshre, Harsh Jain, Neeraj Singh, and Ishan Bansal. Based in <keyword id="6354321" type="COMPANY" weightage="20" keywordseo="Bengaluru">Bengaluru</keyword>, the company claims to have over 10 million registered users across 900 cities. The four-year old startup was also a part of CB Insights’ list of 250 world’s most promising fintech companies. The stock broking market has been heating up as India has seen a huge uptick in the number of people investing in Indian stock markets. Groww faces competition from the likes of Zerodha, Paytm Money, INDMoney, Stockal among others. With the latest investment, the startup plans to expand its product suite, hire top-quality talent, and invest heavily in financial education and awareness. SEE ALSO: <a href="https://www.businessinsider.in/business/startups/news/oyo-says-an-angry-hotel-owner-has-dragged-the-9-billion-startup-to-court-over-a-16-lakh-dispute/articleshow/81947498.cms">OYO says an angry creditor has dragged the $9 billion startup to court over a ₹16 lakh dispute</a> <a href="https://www.businessinsider.in/business/startups/news/for-the-third-consecutive-day-a-new-unicorn-is-born-from-india-as-pharmeasy-joins-the-billion-dollar-club/articleshow/81943929.cms">For the third consecutive day, a new unicorn is born from India as PharmEasy joins the billion dollar club</a>

Boom! Another unicorn pops up from India as Groww raises $83 million at a billion dollar valuation

A controversial ex-banker is the person who really runs Twitter - and he's gambling the company's future on one risky bet

<div class="image-container float_right"><div class="image"><img src="http://static4.businessinsider.com/image/52416b37eab8eaf85022a3a5-1200-924/blackberry-art.jpg?maxX=480" border="0" alt="blackberry art" width="480" />REUTERS/Fred ProuserA woman looks at her Blackberry mobile device with artist Roy Lichtenstein's painting titled " I...I'm Sorry" shown background at the press preview for the new Broad Contemporary Art Museum in the Los Angeles County Museum of Art campus in Los Angeles February 7, 2008.</div></div>This is a guest post for Business Insider Australia by Sydney-based social researcher Michael McQueen. More information at the foot of the article.
There is little doubt that Blackberry is a brand in peril. With the news late last week that the company would be shedding almost 40% of their staff on the back of a $1 billion loss last quarter, it is little wonder Blackberry's leadership placed a trading halt on the company's stock while they held talks with private equity firms.
How the mighty have fallen. Far from the heady days where Blackberry held the dominant position in an emerging smartphone market, recent years have seen the company struggle to maintain any foothold in a sector increasingly dominated by Apple, Samsung and various Android devices. Today, Blackberry accounts for a mere 3.8% market share in the US - down from 43% in January 2010.
In considering the demise of such an iconic brand, the question of course if what could they have done differently? Were there tactics that could have been employed in years past that could have seen Blackberry avoid their current collision course with irrelevance?
Having tracked over 500 brands in recent years examining what distinguishes the enduring from the endangered, I would suggest that there are at least 5 things Blackberry could have done differently. They could have:
1. Been willing to embrace new hardware formats. 
Although the full QWERTY keyboard had become a key function of Blackberry's market uniqueness, the point stands that the company waited far too long to release a touch screen device. While the rest of the market was shifting away from in-built keyboards, Blackberry doggedly stuck with their tried and true format and quickly lost appeal to a new generation of consumers.
Naturally, such a deviation from the past would have lost Blackberry some cred with it's existing fans and could have eroded their market uniqueness. However, letting go of this tried and true design from the past was in fact a critical step for the future.
As Steve Jobs once observed, 'if you aren't willing the cannibalise your own product, someone else will do it for you.'
2. Recognized much earlier that consumer desires were changing. 
In the early days, Blackberry won favour due to the robust security of features such as the company's email solution. While this worked well for wooing a corporate market, Blackberry failed to recognize that sexy features were quickly taking precedence over software security in the mind of an average consumer.
As the role of a smartphones increasingly grew beyond phone functionality, Blackberry got stuck selling features that mattered less and less to their customers.
3. Made more fundamental changes to its operating system. 
Blackberry stayed too safe for too long. While rivals were releasing vastly new operating systems for their devices, each new Blackberry release was only an incremental improvement on its predecessor.
In this, there lie lessons for other smartphone producers such as Apple. Evolutionary change is not enough in the fats-moving technology space. Revolutionary innovation is required to stay ahead of both the curve and competition.
4. Been more outwardly open and flexible.
Blackberry's rules and restrictions around app development were recently described as 'draconian' by one industry insider.
Such a rigid and restrictive approach actively dissuaded external innovation and resulted in Blackberry being left behind as Apple and Android smartphones were becoming increasingly app-driven.
5. Recognized the shift
The company could have better recognized the threat posed by the Bring your Own Device shift. While Blackberries were once the company-issue handset of choice, as white-collar employees began bringing their own devices to work en masse in the late 2000s, Blackberry executives raised the alarm.
Despite this, company CEO Jim Balsillie famously dismissed their concerns as not worth worrying about - an error in judgment that has cost the company very dearly.
In reality, had Blackberry and their leadership preempted this shift rather than ignoring it, they could have taken steps to mitigate the damage.
While a world without Blackberry may have been inconceivable just a few short years ago, this possibility is one that is becoming very real. Just as Nokia recently agreed to join the Microsoft fold in an effort to stave off annihilation, Blackberry will need to make some very difficult choices in the months to come if they have any hope of survival.
Written by Michael McQueen author of newly launched book, "Winning the Battle for Relevance." Michael is a leading social commentator and three-time bestselling author. "Winning the Battle for Relevance" is available in bookstores across the country and through Michael McQueen's website www.MichaelMcQueen.net. RRP $22.95. 
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You Searched For "cred employee stock" and got 13 results

CRED says that all its employees get stock options, expands pool to $500 million

Kritti Bhalla

CRED-owned Happay lays off 35% of its workforce

IANS

As tepid two wheeler sales hurt Bajaj Auto’s profitability, stock slides 4%

Bhakti Makwana

FarEye is the latest to buy back shares from employees — to liquidate ESOPs worth over ₹5 crore

Sanchita Dash

Citi is betting big on high-profile executives to turn things around

Dan DeFrancesco

One in five Urban Company professionals took home at least ₹38,000 a month, claims the company

Kritti Bhalla

Instagram launches subscriptions to help creators monetise their content

Rounak Jain

JustDial can’t beat Google and it should stop trying to, say analysts

Kritti Bhalla

Logistics startup Locus raises $50 million in Series C — aims to double its patents by 2022 and hire more data scientists

Prabhjote Gill

NASSCOM says Budget 2021 should ensure ESOPs are taxed only when shares are sold

Sanchita Dash

Boom! Another unicorn pops up from India as Groww raises $83 million at a billion dollar valuation

Sanchita Dash

A controversial ex-banker is the person who really runs Twitter - and he's gambling the company's future on one risky bet

Julie Bort

Four Things Blackberry Could Have Done To Compete In The Smartphone Wars

Business Insider Australia