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Clean Electric secures $6m in Series A round

  • Info Edge and Pi Ventures contributed Rs14.16cr each while existing supporter Kalaari Capital invested Rs14cr.

Clean Electric has secured a notable funding round of Rs48.5 crore (approximately $6 million) from a combination of existing and new investors.

The investment marks the second round of funding for the firm within the span of twenty months, underscoring both investor confidence and the burgeoning potential of Clean Electric’s innovative approach to energy storage.

Clean Electric’s board has sanctioned a special resolution to issue 31 equity shares and 12,328 Series A preference shares, each priced at Rs39,243, to facilitate the capital raise.

The strategic move not only indicates a robust capital structure but also reflects a careful consideration of market conditions and investment trends.

Scaling operations

The Series A funding has been co-led by prominent investors Info Edge and Pi Ventures, who each contributed Rs14.16 crore, while existing supporter Kalaari Capital invested Rs14 crore.

Additionally, angel investors, including Pankaj Chaddah, Amit Kumar, Rama Advisors, and Lok Capital, have collectively provided Rs6.18 crore.

The capital raised will be instrumental in advancing various operational facets of Clean Electric, including working capital, expansion initiatives, capital expenditure, and essential corporate purposes.

Such allocation of funds is crucial, particularly as the company seeks to scale its operations in a competitive market.

Since its establishment in 2016 by Akash Gupta and Abhinav Roy, Clean Electric has focused on developing advanced liquid-cooled battery solutions targeted at two-wheelers, three-wheelers, and battery swapping systems, alongside energy storage and infrastructure services.

The importance of these solutions is amplified in an era increasingly oriented towards electric mobility and renewable energy utilization. However, it is notable that Clean Electric was in its pre-revenue stage until the fiscal year 2023, with recorded revenue from operations of only Rs34 lakh during that period.

Kalaari Capital remains Clean Electric’s largest external stakeholder, holding a 20.7 per cent stake, followed by Info Edge and Pi Ventures, each with an 8.02 per cent share.

OpenAI’s ChatGPT now has over 200m weekly active users

  • Analysts say that OpenAI could achieve a valuation exceeding $100n in upcoming funding rounds.
  • OpenAI’s collaboration with Apple through the integration of ChatGPT into Apple devices as part of its “Apple Intelligence” initiative highlights the intertwining of AI and consumer technology.

OpenAI reported that its ChatGPT boasted more than 200 million weekly active users, a staggering increase that has doubled the impressive figure of 100 million reported just a year earlier.

The exponential growth underscores the chatbot’s widespread acceptance and its role as a pivotal tool for both individuals and businesses.

The capacity of ChatGPT to generate human-like responses based on user prompts has captivated users across demographics, demonstrating the technology’s versatility and adaptability in various applications, from casual interactions to professional inquiries.

The trajectory of OpenAI’s growth is further illuminated by its relationship with corporate America. According to OpenAI, 92 per cent of Fortune 500 companies now integrate its products into their operations, reflecting the widespread recognition of AI’s potential to enhance efficiency and innovation.

The Automated Application Programming Interface (API), which facilitates communication between software applications, has seen its usage double since the introduction of the cost-efficient GPT-4o mini model in July.

Market valuation

The model [GPT-4o mini] has been strategically designed to be more affordable and less energy-intensive, aligning with the broader trend of making advanced technologies accessible to a wider array of customers, including smaller enterprises that may have previously been deterred by the high costs associated with AI deployment.

The meteoric rise of ChatGPT has not only driven the adoption of AI technologies but has also significantly enhanced OpenAI’s market valuation, placing it squarely within the competitive arena of high-value tech firms.

Analysts suggest that the startup could achieve a valuation exceeding $100 billion in upcoming funding rounds, fueled by the interest of heavyweights such as Apple and Nvidia.

Reports indicate that these companies are in discussions to invest in OpenAI, further cementing its position as a key player in the AI sector.

Microsoft, a long standing backer of OpenAI with investments exceeding $10 billion, is also anticipated to join this new funding round.

The implications of OpenAI’s rapid growth extend beyond mere financial statistics. They signal a broader AI arms race, wherein companies across diverse industries are increasingly compelled to invest in cutting-edge AI technologies to maintain a competitive edge.

Strategic partnerships

The launch of ChatGPT in late 2022 has acted as a clarion call for innovation, prompting firms to allocate substantial resources—amounting to billions of dollars—towards AI research and development.

This urgency is also compounded by the increasing integration of AI into consumer technologies and enterprise solutions, illustrating a clear shift in how businesses view and utilise AI.

In addition to securing substantial investments, OpenAI is establishing strategic partnerships that will further enhance its capabilities and influence.

Recent agreements with the US government for research, testing, and evaluation of AI models exemplify the startup’s commitment to ethical AI development and its role in shaping regulatory frameworks.

Such collaborations signify recognition of the profound impact AI technologies can have on society, alongside the inherent risks they pose.

The US Artificial Intelligence Safety Institute’s involvement showcases the government’s increasing interest in fostering a safe and responsible AI ecosystem, which will likely be crucial as AI applications continue to proliferate.

Apple Intelligence

Moreover, OpenAI’s collaboration with Apple through the integration of ChatGPT into Apple devices as part of its “Apple Intelligence” initiative highlights the intertwining of AI and consumer technology.

Given Apple’s keen emphasis on enhancing user experience and functionality across its product line, this partnership not only enhances OpenAI’s visibility but also amplifies the user experience through advanced AI capabilities.

Apple’s reported observer role on OpenAI’s board further solidifies this collaborative relationship, ensuring that both organisations can mutually benefit from advances in AI technology.

The financial buzz surrounding OpenAI, particularly with the potential investment from venture capital firms like Thrive Capital—reportedly amounting to around $1 billion—illustrates the venture capital community′s confidence in the company′s future prospects.

India’s e-commerce market to attain greater heights

  • Alternative payment methods command a staggering 58% share of the market in 2023 and gaining popularity for last five years.
  • Mobile and digital wallets eclipse traditional payment modes, reflecting a paradigmatic change in consumer preferences and transactional behaviour.
  • Government initiatives and the evolving digital ecosystem contribute to an environment ripe for further growth.

The Indian e-commerce landscape is rapidly evolving, marked by a significant increase in consumer engagement and technological advancement.

According to forecasts by GlobalData, the e-commerce payments in India are anticipated to surge by an impressive 23.8 per cent in 2024.

Ravi Sharma, banking and payments analyst at GlobalData, said the growth trajectory is a reflection of burgeoning consumer preference for online shopping, alongside an unprecedented rise in internet penetration and smartphone usage across the nation.

The projected elevation of the e-commerce market, which is set to grow at a compound annual growth rate (CAGR) of 18.7 per cent, underscores the potential of the sector as it escalates from Rs12.2 trillion (approximately $147.3 billion) in 2024 to an astounding Rs24.1 trillion (approximately $292.3 billion) by 2028.

A principal driver of this phenomenal growth in the e-commerce sector is the remarkable increase in internet accessibility.

According to data from the Telecom Regulatory Authority of India, the number of internet subscribers in India surged to 954 million by March 2024, a considerable leap from 881 million in March 2023.

The surge in connectivity has facilitated a dramatic shift in consumer behaviour, leading an expanding demographic to gravitate towards online shopping.

The proliferation of smartphones has only further catalysed this trend, as these devices serve as gateways to the vast digital marketplace, providing consumers with the convenience and flexibility to shop from the comfort of their homes.

As a result, small and medium-sized enterprises (SMEs) are increasingly entering the e-commerce space, spurred on by this favourable consumer environment.

Platforms such as Flipkart, Amazon, and Myntra have employed various tactics, including substantial discounts and cashback promotions during major sales events, to entice consumers and bolster online shopping activities. These initiatives are instrumental in creating a competitive yet consumer-friendly marketplace, thereby hastening the expansion of e-commerce in India.

Alternative payment solutions

A noteworthy aspect of the e-commerce surge in India, Sharma said is the marked preference for alternative payment methods.

GlobalData’s 2023 Financial Services Consumer Survey indicates that alternative payment solutions captured an impressive 58% share of the e-commerce payments market in 2023.

The shift reveals a significant transformation in consumer preferences, as mobile and digital wallets have emerged as the preferred methods of transaction, overshadowing traditional payment modes.

“Prominent brands such as Amazon Pay and Google Pay have gained traction, reflecting a broader trend wherein consumers favor the convenience and efficiency that these digital platforms provide,” Sharma said.

In contrast, payment cards represent the second most popular method, accounting for 25.7 per cent of the e-commerce payment landscape.

Of these, credit and charge cards have become notably favoured, holding a 15.4 per cent market share. Conversely, cash transactions, which historically dominated in-store purchases, have seen a decline in online purchases, reducing their share to a mere 6.2 per cent.

The decline in cash transactions can be attributed to the increasing acceptance of electronic payment methods within e-commerce, notably through innovations like Pay-On-Delivery with QR code functionality.

Major platforms such as Flipkart have adopted this method, allowing consumers to make payments at the time of delivery through any UPI-enabled application, including PhonePe, Google Pay, and MobiKwik. Such advancements not only enhance convenience for consumers but also signify progress in the overall payment infrastructure.

Government initiatives

The Indian government’s initiatives, especially the “Make in India” and “Startup India” campaigns, have played a significant role in shaping the e-commerce ecosystem.

“Make in India” has empowered numerous SMEs to augment their manufacturing capabilities and sell products across various channels, including online platforms, both domestically and internationally. This empowerment is crucial for driving overall market growth and enhancing India’s position as a burgeoning hub of online commerce.

Moreover, the increasing number of online shoppers plays a pivotal role in sustaining this upward trend in e-commerce. As consumer trust in digital transactions bolsters, so does the appetite for online shopping, which in turn drives further investments in technology and infrastructure.

Sharma said the trends observed over the past few years are indicative of a robust future for e-commerce payments in India.

“The convergence of rising consumer preferences, enhanced payment infrastructures, and the growing acceptance of alternative payment solutions will continue to propel the sector forward.”

Iran cyber army helps cybergangs deploy ransomware

  • FBI highlights group’s extensive arsenal capable of breaching critical infrastructure, including education, finance, healthcare, and defence organisations.
  • FBI and CISA discover dozens of IP addresses and bitcoin wallets used by the threat actors.

The rise of state-sponsored cyber actors poses an unprecedented challenge, especially for nations like the United States, which face threats not only from traditional military conflicts but also from sophisticated cyber operations.

Among the notable players in this realm is the Iranian cyber army, a group whose activities extend beyond espionage to include the commercialisation of access to breached organisations.

The Iranian cyber actors operate under various aliases—Pioneer Kitten, Fox Kitten, UNC757, Parisite, RUBIDIUM, and Lemon Sandstorm—demonstrating their complex and layered operational strategies. Within their networks, they refer to themselves as Br0k3r or “xplfinder,” indicating a focus on trade and negotiation regarding their capabilities.

While initially tasked with espionage, including cyber intrusions targeted at sensitive data from nations like the UAE, Israel and Azerbaijan, the evolution of their operations has led to a disturbing trend: the monetisation of unauthorised access to corporate systems across various sectors.

The Federal Bureau of Investigation (FBI) has issued multiple advisories highlighting this group’s extensive arsenal capable of breaching critical infrastructure, including education, finance, healthcare, and defence organisations.

A structured approach

Recent intelligence underscores a striking collaboration between Iranian cyber actors and ransomware affiliates, marking a significant shift in tactics. The FBI identified that these actors are not merely providers of access; they actively engage with malicious entities like NoEscape, Ransomhouse, and ALPHV (commonly known as BlackCat) to facilitate encryption operations.

In this symbiotic relationship, Iranian actors provide the means to infiltrate organisational networks, while they share in the ransom payments collected from the victims.

This raises troubling questions about the operational independence of the Iranian cyber army, as the affiliations suggest a structured approach to cybercrime that blends state-sponsored initiatives with commercial cyber extortion.

The nuances of their operations reveal a sophisticated method of obfuscation. While engaged in ransomware activities, these actors do not disclose their Iranian origins, maintaining an air of anonymity that complicates attribution and response.

Their interactions with ransomware affiliates are characterised by intentional vagueness regarding their national identity, reflecting a calculated risk management approach designed to evade detection by both victims and law enforcement agencies.

Hack-and-leak strategy

A critical moment in the evolution of these tactics can be traced back to 2020 during the Pay2Key campaign, a strategic operation aimed at destabilising Israeli cyber infrastructure. Rather than traditional ransomware models, the Iranian cyber actors adopted a hack-and-leak strategy, releasing sensitive information publicly to inflict reputational damage.

The approach was coupled with the operation of a leak site hosted on compromised infrastructures, demonstrating how they effectively weaponised stolen data to further their geopolitical aims. Through social media channels, they would taunt victims by tagging them and relevant media outlets, amplifying the impact of their attacks.

The ongoing evolution of Iranian cyber operations has drawn the attention of US cyber authorities, particularly concerning their targeting of various sectors deemed vital to national and economic security.

As of August 2024, their focus includes US-based institutions, municipal governments, financial establishments, and healthcare facilities.

Variety of infiltration methods

The FBI’s assessment highlights that the group’s activities align with Iranian state interests, emphasising targets that would typically be off-limits to their ransomware partners.

However, Iran’s cyber actors have conveyed specific concerns about government oversight, particularly relating to cryptocurrency transactions associated with their illicit endeavours, suggesting a nuanced understanding of their operational landscape and the geopolitical implications of their actions.

To gain access to victim organisations, Iranian cyber actors employ a variety of infiltration methods, beginning with the identification of weaknesses in external services. Techniques of reconnaissance involve scanning for known vulnerabilities and employing tools like the Shodan search engine to identify exploitable IP addresses.

Recent efforts have seen them probing for specific vulnerabilities in widely used security gateways and VPNs, demonstrating a persistent intent to exploit enterprise systems.

Malicious payloads

Once access is gained, their actions are methodical. Iranian actors typically aim to capture sensitive login credentials using web shells, establish illicit accounts within victim networks, and request exemptions from established security policies to ensure persistence within the compromised environment.

The deployment of backdoors and the introduction of malicious payloads represent an all-too-familiar playbook, further complicating incident response efforts for organisations that find themselves targeted.

Command and control operations also reflect their sophistication.

Utilising tools like AnyDesk, PowerShell Web Access, and open-source tunneling applications such as Ligolo and NGROK, they exploit legitimate software to establish remote connections, thereby facilitating further exploitation of compromised systems.

The layered approach not only enhances their operational capabilities but also introduces significant challenges for cybersecurity professionals striving to protect their networks.

The FBI and CISA discovered dozens of IP addresses and bitcoin wallets used by the threat actors.

The authorities recommend all organisations to review suspicious IP addresses for any activity, applying patches to specific vulnerabilities, checking systems for unique identifiers used by Tehran’s cyber warriors, including specific usernames, NGROK and Ligolo packages, webshells in particular directories, monitoring requests to suspicious domains, and others.

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Mumbai-based Miko secures $2.5m funding

  • Moneycrew injects Rs4.5cr while the rest from Amrapali B Doshi, Sanjiv Sarita, Amit Jain, Satyam Sinha, Inderjit Kaur Arora, and others.

Mumbai-based robotics company Miko has successfully raised Rs20.5 crore (approximately $2.5 million) in fresh equity from a group of notable angel investors.

The funding round comes at a pivotal moment for the company, which has demonstrated remarkable growth and innovation in the emotional intelligence and artificial intelligence (AI) infused robotics.

The post−funding valuation of Miko stands at a commendable $206 million, reflecting not only investor confidence but also the company’s potential for future expansion and impact.

Growth in valuation

The recent funding round is a significant milestone for Miko, as evidenced by the regulatory filings that reveal the company’s board passed a special resolution to issue 679 Series C Compulsorily Convertible Preference Shares (CCPS) at an impressive issue price of Rs3,02,695 each.

Notably, the injection of funds from Moneycrew Fintech, amounting to Rs4.5 crore, marked a substantial contribution.

Other angel investors, including prominent figures such as Amrapali B Doshi, Sanjiv Sarita, Amit Jain, Satyam Sinha, and Inderjit Kaur Arora, also participated in this funding round, underscoring the growing interest in Miko’s innovative offerings.

The post-allotment valuation of Miko at around Rs1,711 crore (approximately $206 million) represents a staggering 2.3 fold increase compared to its previous equity round.

The remarkable growth in valuation signals the robustness of Miko’s business model and its advancements in robotics technology, which effectively combine AI and IoT capabilities.

Innovation at forefront

Miko has carved a niche for itself in the robotics sector by developing emotionally intelligent robots. The company’s flagship products, namely Miko, Miko 2, and Miko 3, are designed to harness the power of AI and IoT to foster emotional connections with users.

The unique approach distinguishes Miko from traditional robotic applications, as the robots are equipped with the capability to see, hear, sense, express, talk, and recognise faces using advanced voice-recognition technology. This multifaceted functionality not only enhances user experience but also positions Miko as a leader in a burgeoning market for social robotics.

EU paves way for Fortnite’s return and big changes for mobile app stores

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  • DMA is keen to open up the mobile app distribution to more players by enabling alternative app stores to thrive and offer more favourable terms to developers and consumers alike.
  • The emergence of new stores might provide new billing models and more incentive for mobile service creation. 

Four years after being removed from Apple’s App Store and Google’s Play Store in a high-profile antitrust battle, Fortnite’s comeback marks a victory for Epic Games and a broader shift in the industry. 

The dispute, which began when Epic Games bypassed the mandatory in-app billing systems imposed by Apple and Google, highlighted the stranglehold these tech giants have over mobile content distribution and payments. 

By offering its own payment systems, Epic aimed to challenge the fees charged by these platforms on digital purchases, considered high at up to 30 per cent of the user transaction value. 

The return of Epic Games’ Fortnite to the iOS platform in the European Union and Android devices worldwide is emblematic of this change. 

EU leading the way

At the heart of this transformation is the EU’s Digital Markets Act (DMA), legislation aimed at curbing the dominance of Big Tech and fostering competition within the digital marketplace. 

This development is particularly significant for mobile payments, as it opens the door to alternative payment systems and app stores, fundamentally altering the ecosystem that has been dominated by Apple and Google given their position on smartphone operating systems.

Anzelle Robertson.

The introduction of the DMA has forced Apple and Google to reconsider their business models, especially regarding how they manage app stores and payment systems. 

Tim Sweeney, CEO of Epic Games, hailed the regulation as a turning point, asserting that “the tide is turning” as these digital gatekeepers face increasing pressure from regulators and courts around the globe. 

This sentiment underscores the DMA’s potential to open up the mobile app distribution to more players by enabling alternative app stores to thrive and offer more favourable terms to developers and consumers alike.

With the launch of the Epic Games Store on mobile, alongside other alternative app stores like Aptoide and AltStore, we are witnessing the early stages of a more diverse and competitive app ecosystem. 

These platforms not only provide more choice for consumers but also foster a more developer-friendly environment. As Sweeney pointed out, Epic Games is committed to supporting every store that offers fair terms to developers, recognising that “a rising tide lifts all boats.”

Time to consider the future  

For the mobile payment industry, it is a time to pause and reflect. The emergence of new stores might provide new billing models and more incentive for mobile service creation. 

On the other hand, the Google Play and Apple Store offers have managed to clear up the high level of fraud and unclear customer experiences that were running wild in the industry in the early 2000s. The new stores should come with an enlightened view.

However, the transition is not without challenges. It will take a while to clear up and balance the valid request on each side. Epic and a number of other companies have accused both Apple and Google of creating barriers to the installation of alternative app stores, with reports of cumbersome and confusing processes that deter users from seeking out these options. 

Apple, for its part, claims that it has implemented the DMA’s requirements while still prioritising user privacy and security.

As the mobile ecosystem continues to evolve under the influence of the DMA, the implications for mobile payments are profound. 

We are likely to see an increase in the variety of payment methods available to consumers, a reduction in transaction fees, and greater innovation in the types of services offered through mobile apps. 

Potentially we are going to see an increase in fraud and mis-selling if companies do not adopt a stricter overseeing activity than we saw in the past. 

  • Anzelle Robertson is the content and advertising director for the Mobile Ecosystem Forum, a global trade body established in 2000 and headquartered in the UK with members across the world.