India's First Hyperloop Test Track is Ready - Indian Startup News 239

Summary

India's hyperloop industry is making strides with two startups, DTR Hyperloop and Avishkar Hyperloop, working on futuristic transportation technology despite global setbacks. Meanwhile, Tesla is exploring a potential showroom in Delhi amid India's evolving EV policy. Zepto's rapid growth in the 10-minute food delivery space and a controversial marketing campaign by Yes Madam make headlines in the startup world. Other significant updates include IPOs, new manufacturing deals, and the rise of companies like Rebel Foods and Hab in industrial robotics, signaling a robust Indian startup ecosystem. This week, Indian startups raised $587 million, marking a strong funding week.

Takeaways

• 😀 India's first hyperloop test track, built by DTR Hyperloop in collaboration with IIT Madras, is a significant milestone in the country’s transport innovation efforts.
• 🚀 Global hyperloop initiatives have faced setbacks, with SpaceX dismantling their test tunnel and Virgin Hyperloop pivoting to cargo transportation, but Indian startups continue to push forward.
• ⚡ Tesla is in early talks to enter the Indian market, potentially opening experience centers in Delhi NCR, although the move is still unconfirmed.
• 🛻 India’s new EV import duty policy could reduce import taxes to 15% for companies like Tesla, contingent on manufacturing commitments within 3 years.
• 🍔 Zepto, a rapid food delivery platform, expands into café delivery with Zepto Café, which is already handling 30,000 orders daily and scaling rapidly.
• 💼 Zepto faces internal leadership challenges as several senior executives, including its Chief HR Officer, leave amid concerns about workplace culture.
• 📉 Yes Madam, a home salon service featured on Shark Tank India, faces controversy over a marketing campaign that misinterpreted layoffs as a mental health initiative.
• 💸 Mobiquik, an Indian fintech, successfully went public with a 572 crore rupee IPO, which was oversubscribed 16.86 times, signaling strong investor interest.
• 📦 Rebel Foods, a cloud kitchen startup, raises $210 million but maintains its valuation from three years ago, indicating investor confidence despite market fluctuations.
• 🌍 Several other startups also raised substantial funds this week, including industrial robotics firm Hab, space tech startup Pixel, and semiconductor company Netra Semi, showing the diverse growth of India’s tech ecosystem.

Q & A

What is the significance of the hyperloop test track in India?

India's first hyperloop test track, built by Trr Hyperloop in collaboration with IIM Madras, marks a crucial step in advancing hyperloop technology in India. This 410-meter long test track is part of a larger 11.5 km testing facility and highlights India's involvement in a global race to commercialize hyperloop, despite global setbacks in the industry.

Why has hyperloop technology struggled globally?

Hyperloop technology has faced challenges due to high costs, technical difficulties, and a lack of commercial success. Notably, companies like Elon Musk's SpaceX and Richard Branson's Virgin Hyperloop have struggled, with the latter pivoting to cargo transport and shutting down in 2023, despite billions invested.

What is India's role in the hyperloop race despite global challenges?

Indian startups like Trr Hyperloop, backed by IIM Madras and the Ministry of Railways, are working toward making hyperloop a reality by 2030. India's focus on innovation in the sector, supported by government funding, positions it as a potential leader in the global hyperloop race.

How is Tesla's potential entry into India different this time?

Tesla is reportedly in talks to set up a showroom and service center in New Delhi, with plans for consumer experience centers in prime locations. This is significant as it follows the Indian government's new policy on EV import duties, offering reduced rates for manufacturers that commit to local production.

What government policy is attracting Tesla to India?

The Indian government has introduced a policy that could reduce import duties on electric vehicles from 100% to 15%, provided the manufacturer commits to investing $500 million and starts manufacturing in India within three years. This policy is encouraging Tesla to consider entering the Indian market.

What new development has Zepto introduced in the food delivery market?

Zepto has launched a separate app called Zepto Cafe for its 10-minute food delivery service, which is handling 30,000 orders a day and scaling rapidly. The company has also reported impressive financial growth, with expectations to hit an annual revenue run rate of 1,000 crore INR by FY 2026.

What is the controversy surrounding Yes Madam's marketing campaign?

Yes Madam, a home salon service featured on Shark Tank India, faced backlash for a marketing campaign that falsely claimed they had fired 100 employees for stress-related reasons. The campaign, intended to promote their new mental health policy, was seen as tone-deaf, as layoffs are a sensitive issue.

How successful was Mobiquick's IPO in December 2023?

Mobiquick's IPO, valued at 572 crore INR, was oversubscribed 16.86 times by the end of day two, signaling strong investor interest. The company, which had previously delayed its IPO in 2021 due to unprofitable conditions, has since shown a significant improvement in its financials.

What progress has Mintra made in its financials for FY 24?

Mintra, the e-commerce giant, reported a revenue of 5,122 crore INR in FY 24, along with a profit of 31 crore INR. This is a significant turnaround from the previous fiscal year, where they posted a loss of 782 crore INR.

What is the focus of Growex Ventures' new fund?

Growex Ventures has launched a 400 crore INR fund, focusing on deep tech and B2B startups at seed to Series B stages. The fund aims to invest in areas like semiconductor, space tech, defense, alternative materials, and advanced manufacturing, with investments ranging from 10 crore INR for seed-stage startups to 30 crore INR for Series B startups.