Softbank Vison Fund Flipkart: Indian E-commerce Battle Heats Up

Softbank Vison Fund Flipkart: Indian E-commerce Battle Heats Up

Softbank Vison Fund Flipkart E-commerce company Flipkart has finally found a new ground to stand on to Jeff Bezos`s Amazon, stopping them from making a home run in India. The company has found excess cash of $4 Billion in the kitty as against Bezos`s $5 Billion. An undisclosed investment made by Softbank Vison Fund Flipkart, the world`s largest technology focused investment fund. This is the biggest ever private investment in an Indian technology company making Soft Bank the largest shareholders in the e-commerce company Flipkart. Flipkart had earlier raised funds with Microsoft, Tencent and E- Bay to maintain their lead over the other top players in the sector including Amazon. Their market share had grown to 57% in March 2017 but with Amazon India investing close to 1680 crore in India recently it would have been just a matter of time until they took over.

Money Can Buy Happiness For Flipkart

“I suspect that with the funds at hand and that hurdle now crossed, I believe Flipkart will be able to infuse some fresh talent. They do not need to focus on unit economics now,” said Paula Mariwala, Partner,  Seedfund , and Co-Founder, Stanford Angels. This has really made for an interesting battle with the two top players now flushed with money. The advertising expenditure should go up and the logistics should get a boost. But most importantly as customers we can get ready for some heavy discounts. With Flipkart now in a happy space with excess cash, it will be back to mega discounts during festival time. The major e-commerce firms are realizing the potential in the Indian market and no one is ready to give an easy lead to anyone. Amazon although threatened with heavy investments in the Indian market, Flipkart with this monumental deal has developed interest in top tier investors and is a testament to India`s unparalled potential to become leaders in technology and e-commerce. It would be wrong not to include other competitors like Alibaba in this competition. The Chinese E- commerce company has ascended into market leadership in 2017 with a series of new highs and rewarding shareholders with great returns. Within 12-18 months, there are speculations of even Reliance Industries to enter this market and if that happens the Indian E-commerce market will heat up considerably. This surge does not come as a shock to analysts as top investors start realizing the potential in the Indian market. It is safe to say that the customers are in for a treat.