Reliance Industries Ltd on Wednesday announced that its subsidiary Reliance Jio has acquired Mumbai-based Haptik — one of the world’s largest conversational Artificial Intelligence (AI) platforms — for about Rs 700 crore.
The transaction size, including investment for growth and expansion, will see Rs 230 crore as the consideration for the initial business transfer for the acquisition, the company said in a statement.
“This strategic investment underlines our commitment to further boost the digital ecosystem and provide Indian users conversational AI-enabled devices with multi-lingual capabilities,” said Akash Ambani, Director, Reliance Jio.
As reported by IANS last week, with this acquisition, Jio with its widespread reach will be in a formidable position to challenge Amazon Alexa and Google Assistant — both growing fast in the Indian market via smart home speakers and other “connected” Internet of Things (IoT) devices.
Recent data released by the Telecom Regulatory Authority of India (TRAI) showed that the subscriber base of Jio was nearly 29 crore.
“We believe voice interactivity will be the primary mode of interaction for Digital India. We look forward to working with the experienced team of Haptik in realizing this vision for offering greater connectivity and rich communication experiences to the billion+ Indian consumers,” Akash Ambani added.
The Haptik team will continue to drive growth of the business, including the enterprise platform as well as digital consumer assistants.
Reliance will hold about 87% of the business with the rest being held by Haptik founders and employees through stock option grants.
According to the company, the investment focus is on enhancement and expansion of the platform, with an addressable market opportunity of over one billion users in India.
“We believe now is the opportunity to serve the next billion users who come online, and who better to partner with than one of the world’s largest digital ecosystems in Jio,” said Aakrit Vaish, Co-Founder and CEO, Haptik.
Vaish with Swapan Rajdev founded Haptik in 2013 as a chat-based virtual concierge mobile application.
Haptik has processed more than two billion interactions till date, with a client list that includes Samsung, Coca-Cola, Future Retail, KFC, Tata Group, Oyo Rooms and Mahindra Group, among others.
In April 2016, Haptik had raised capital from Times Internet who will exit the business as a part of this transaction.
Chatbots are slowly becoming the default customer support solution for most services and Haptik is one such platform — building applications for consumers, publishers and enterprises.
More than 50 per cent of Indian retail companies will be operating on AI by 2020, said PeopleStrong, a Software-as-a-Service (SaaS) HR technology and solutions company, recently.
According to an Accenture analysis, AI has the potential to add $957 billion to India’s economy in 2035.
- Johnson & Johnson buys electrolyte drink Orsl for Rs 750 crore
- Serum Institute targets Rs 10k crore sales by 2022; launches Rotavirus vaccine, rabies biologic drug
- Avantha Holdings buys 1.15 crore Crompton Greaves shares for Rs 211 crore
- Jio dislodges Vodafone to claim second spot in revenue market share
- Jio, Microsoft team up for digital transformation
- Vodafone Idea to close m-pesa biz, writes off Rs 210 cr
- Reliance Brands picks Sumeet Yadav to head Hamleys
- Brookfield, Reliance inch closer to a towering deal
- Why Jio may now have to buy spectrum from the open market
- Jio Fiber to be launched on September 5. Here are the details
- Underperform RIL, target Rs 995: Credit Suisse
- Reliance Brands targets domestic segment
- Reliance to give 100% return in next 24 months: Sushil Choksey
- Jio is India's top telecom revenue earner
- How big data and AI decide your credit score
- This week in MFs: Sector buzzing with news on stake buy to stake sale
- 2 crore retail investors keep faith in these firms; but are they good bets?
- KKR, GIC to invest Rs 2,000 cr in Sterlite Power Trust
- Top Reliance Securities executives, others team up to buy Reliance Capital broking arm
- Reliance Industries resumes lobbying in US; ropes in new lobbyist
Reliance Jio acquires majority stake in AI firm Haptik for about Rs 700 crore have 618 words, post on www.hindustantimes.com at April 3, 2019. This is cached page on Talk Vietnam. If you want remove this page, please contact us.