News / Economy

Facebook, Google Buy Two India-based Start-ups

FILE - The Google logo is seen on a window at the company's headquarters in Mountain View, California.
FILE - The Google logo is seen on a window at the company's headquarters in Mountain View, California.
Anjana Pasricha
Internet giants Facebook and Google have recently acquired two India-based technology start-up companies. This is expected to give a boost to entrepreneurship in India, home to tens of thousands of software engineers and a thriving information technology industry.
 
Facebook clinched the deal to acquire Little Eye Labs, a company founded about a year and a half ago by four engineers in Bangalore, in early January. The company builds mobile app analysis tools and is believed to have been bought for $10-15 million. It is the first acquisition by the social media giant of an Indian start-up.
 
Google has acquired the cyber security firm, Imperium, which has offices in both Bangalore and California. It was founded three years ago to tackle spam, fraud and abuse on the Internet. Media reports put the deal’s value at about $9 million. 
 
Although the two deals are fairly small, they are significant because they have put Indian start-ups on the radar of the global technology companies, which make regular acquisitions of small companies either for the technology they develop or the talent of their founders.
    
Rutvik Doshi, with venture firm, Inventus Capital Partners in Bangalore, India’s technology hub, thinks the acquisitions are symbolically important.  
 
“Till date none of these large U.S. companies had ever acquired anything in India to write home about. If they both turn out to be successful for these respective companies, they will start looking at India more seriously, in terms of there is more talent, there is more technology, and entrepreneurship happening here. Even though these acquisitions may not be very large, but I think from the symbolic point of view, it is the beginning of a new era,” said Doshi. 
 
Analysts agree that the two deals will give a boost to entrepreneurship in India, where venture capital to fund start ups is not always easy to come by.  
 
India’s IT industry has attracted the country’s brightest minds and Indian software engineers have gained a reputation worldwide, including in Silicon Valley. Most work for big Indian technology companies, but the number of Indian technology start-ups is on the rise.
 
Rajesh Sawhney, founder of GSF Accelerator, one of the companies which funded Little Eye Labs, said most of the start-ups in India so far have focused on developing products for the home market. However, the recent deals will inspire entrepreneurs and venture capitalists to broaden their vision.
 
“The time now is to encourage these start ups to start thinking global and that is what [the] internet allows today. We need to encourage our bright, young talent in India to start building products for world markets like Israelis have done or like U.S. start-ups do. Just because we have a large domestic market does not mean we stay focused there,” said Sawhney.
 
Bangalore’s thriving technology services and outsourcing industry mostly does back office work for Western companies and has put India on the global technology map. It is the success and talent created by that industry which is eyeing the road of entrepreneurship.

You May Like

Lesotho Faces New Round of Violence, Political Crisis

Brutal killing of military officer has sent former leaders back into S. Africa where they're watching anxiously as regional officials head in to try to restore peace More

Video US Diplomat Expects Adoption of Bosnian Massacre Anniversary Resolution

Samantha Power says there's broad consensus about killings in Bosnia's war, but Russia calls resolution 'divisive,' backs UN countermeasure More

America's Most Exotic Presidential Pets

From alligators to bears, the White House has been home to some unusual presidential pets over the years More

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Making Music, Fleeing Bombs: New Film on Sudan’s Internal Refugeesi
X
Carolyn Weaver
July 06, 2015 6:47 PM
In 2012, Sudanese filmmaker Hajooj Kuka went to make a documentary among civil war refugees in Sudan’s Blue Nile and Nuba Mountains region. What he found surprised him: music was helping to save people from bombing raids by their own government. VOA’s Carolyn Weaver has more.
Video

Video Making Music, Fleeing Bombs: New Film on Sudan’s Internal Refugees

In 2012, Sudanese filmmaker Hajooj Kuka went to make a documentary among civil war refugees in Sudan’s Blue Nile and Nuba Mountains region. What he found surprised him: music was helping to save people from bombing raids by their own government. VOA’s Carolyn Weaver has more.
Video

Video Rice Farmers Frustrated As Drought Grips Thailand

A severe drought in Thailand is limiting the growing season of the country’s important rice crop. Farmers are blaming the government for not doing more to protect a key export. Steve Sandford reports from Chiang Mai, Thailand.
Video

Video 'From This Day Forward' Reveals Difficult Journey of Transgender Parent

In her documentary, "From This Day Forward", filmmaker Sharon Shattuck reveals the personal journey of her transgender father, as he told his family that he always felt he was a woman inside and decided to live as one. VOA’s Penelope Poulou has more.
Video

Video Floodwaters Threaten Iconic American Home

The Farnsworth House in the Midwest State of Illinois is one of the most iconic homes in America. Thousands of tourists visit the site every year. Its location near a river inspired the design of the house, but, as VOA’s Kane Farabaugh reports, that very location is now threatening the existence of this National Historic Landmark.
Video

Video Olympics Construction Scars Sacred Korean Mountain

Environmentalists in South Korea are protesting a Winter Olympics construction project to build a ski slope through a 500-year-old protected forest. Brian Padden reports that although there is strong national support for hosting the 2018 Pyeongchang Winter Olympics, there are growing public concerns over the costs and possible ecological damage at the revered mountain.
Video

Video Xenophobia Victims in South Africa Flee Violence, Then Return

Many Malawians fled South Africa early this year after xenophobic attacks on African immigrants. But many quickly found life was no better at home and have returned to South Africa – often illegally and without jobs, and facing the tough task of having to start over. Lameck Masina and Anita Powell file from Johannesburg.
Video

Video Family of American Marine Calls for Release From Iranian Prison

As the crowd of journalists covering the Iran talks swells, so too do the opportunities for media coverage.  Hoping to catch the attention of high-level diplomats, the family of American-Iranian marine Amir Hekmati is in Vienna, pleading for his release from an Iranian prison after nearly 4 years.  VOA’s Heather Murdock reports from Vienna.
Video

Video UK Holds Terror Drill as MPs Mull Tunisia Response

After pledging a tough response to last Friday’s terror attack in Tunisia, which came just days before the 10th anniversary of the bomb attacks on London’s transport network, British security services are shifting their focus to overseas counter-terror operations. VOA's Henry Ridgwell has more.
Video

Video Obama on Cuba: This is What Change Looks Like

President Barack Obama says the United States will soon reopen its embassy in Cuba for the first time since 1961, ending a half-century of isolation. VOA White House correspondent Luis Ramirez reports.
Video

Video Hate Groups Spread Influence Via Internet

Hate groups of various kinds are using the Internet for propaganda and recruitment, and a Jewish human rights organization that monitors these groups, the Simon Wiesenthal Center, says their influence is growing. The messages are different, but the calls to hatred or violence are similar. VOA's Mike O’Sullivan reports.
Video

Video Blind Somali Journalist Defies Odds in Mogadishu

Despite improving security in the last few years, Somalia remains one of the most dangerous countries to be a journalist – even more so for someone who cannot see. Abdulaziz Billow has the story of journalist Abdifatah Hassan Kalgacal, who has been reporting from the Somali capital for the last decade despite being blind.
Video

Video Rabbi Hits Road to Heal Jewish-Muslim Relations in France

France is on high alert after last week's terrorist attack near the city Lyon, just six months after deadly Paris shootings. The attack have added new tensions to relations between French Jews and Muslims. France’s Jewish and Muslim communities also share a common heritage, though, and as far as one French rabbi is concerned, they are destined to be friends. From the Paris suburb of La Courneuve, Lisa Bryant reports about Rabbi Michel Serfaty and his friendship bus.

VOA Blogs

World Currencies

EUR
USD
0.9012
JPY
USD
122.90
GBP
USD
0.6400
CAD
USD
1.2582
INR
USD
63.438

Rates may not be current.