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Sunday, October 26, 2025
Facebook is excited to help govt in Digital India programme: Zuckerberg

Facebook is excited to help govt in Digital India programme: ZuckerbergSeeing exponential growth potential for Facebook in India, its co-founder Mark Zuckerberg today said he will discuss with Prime Minister Narendra Modi ways to connect villages with the digital world. The CEO of the California-headquartered firm, who is on his first visit to India, said he is excited to help the government in its ambitious Digital India programme. “India is an amazing country with unlimited potential. It is a place of big ambitions and Facebook is deeply committed to the country. We see lot of growth for us here. Tomorrow I’m meeting the Prime Minister. He is committed to connecting villages online and we are excited to see how Facebook can help,” Zuckerberg said here.

India has about 243 million Internet users and have 100 million plus Facebook users, but there are over a billion people in the country who do not have access to the net, he added. He is the third high profile CEO of a US-based firm, after Amazon’s Jeff Bezos and Microsoft’s Satya Nadella, to visit India in the last few days.

$1 million fund

Zuckerberg announced that Facebook is creating a $1 million fund to help developers develop apps for farmers, migrants and women. This will be a contest to drive new apps and services in local languages. “Since 2007, Facebook has been working on new apps and services in local languages. About 65 per cent use Facebook in a language other than English, including 10 Indian languages,” he added. On barriers in Internet penetration, he said: “There are three major barriers to connectivity network, affordability and content.”
Zuckerberg, counted among the youngest tech billionaires, said free basic internet access should be like dialing 911 in the US or 100 in India.

Technology has to serve the society, he said adding that connectivity cannot be a privilege of the rich and powerful. “When the benefits of technology are shared across the whole society that is when we can make the big leap. Because India has embraced science, the next generation has the opportunity to bring the world to India and India to the world,” he added. He said that the whole world being robbed of creativity and ideas because so many people in India are not online. Zuckerberg said through Internet.org, the industry aims to make Internet access affordable for people across the globe. Focused on enabling the next five billion people without Internet access to come online, the founding members of the project include Facebook, Ericsson, MediaTek, Nokia, Opera, Qualcomm and Samsung. The partners are collaborating on developing lower-cost, higher-quality smartphones and deploying Internet access in under-served communities.(Source: The Hindu Businessline)

CeBIT India and STPI join hands to stimulate the MSME sector in India

CeBIT India and STPI join hands to stimulate the MSME sector in India– STPI signs up for CeBIT India as a co-host and by hosting100 Indian MSMEs at CeBIT India 2014
– Agreement strengthens CeBIT India’s commitment to drive the Make In India vision
CeBIT India, the premier international IT/ICT event organized by Hannover Milano Fairs India Pvt Ltd (HMFI),the Indian subsidiary of the Global JV Company HMG (Hannover Milano Global), today announced its strategic partnership with STPI (Software Technology Parks of India), an autonomous society under Ministry of Communication and Information Technology, Dept. of Information Technology, Govt. of India with a distinct focus to promote the software industry in the country.

The MoU, signed by CeBIT India and STPI today, will enable 100 MSMEs from the across the country to showcase themselves in the STPI pavillion, at the premier international platform of CeBIT India, scheduled to take place from November 12-14, 2014 in Bangalore.The MSMEs will also greatly benefit from a series of exclusive mentoring sessions focused on the MSME vertical in India, providing them an opportunity to interact with industry stalwarts as well as key players in the Indian IT/ICT ecosystem. As a part of the CeBIT India-STPI partnership, 10 MSMEs will be chosen to receive an opportunity to represent the country at CeBIT Hannover 2015.

MSMEs are essentially the backbone of the country’s economy, credited to contributions amounting to 36 percent of the total value of exports from the country, recording a constant year-on-year growth of over 10 percent. Indian MSMEs contribute towards approximately 8 percent to the country’s GDP, thereby creating 100 million jobs through the 46 million units from the rural and the urban areas across the country. They also contribute to 90 percent of the total industrial output and 45 percentof the manufacturing output of India, through more than 6000 products across the spectrum. Established in 1991 under the Ministry of Communications and Information Technology, STPI constantly endeavours to implement STP/EHTP scheme formulated by Govt. of India, set up and manage infrastructural facilities for MSMEs.

Commenting on the partnership, Mehul Lanvers-Shah, Managing Director, Hannover Fairs India Pvt Ltd. said “We are excited tounite withSTPI for promoting the Indian MSME sector. We believe that boosting the micro, small and medium enterprises (MSMEs)ecosystem is critical for transforming the vision of India as a global manufacturing hub into reality.For a country that has rung out the 'Make in India' mantra,CeBIT India is an ideal platform to recognize the tremendous potential of Indian MSMEs, and activate exciting opportunities in electronics and software ecosystem from all across the globe.”
“We are glad to join hands with CeBIT India. We have been championing the cause of developing the MSME sector in the country for over 23 years. As the country reverberates Prime Minister Modi’s Make in Indiacampaign, it is pertinent to focus upon the critical cogs of this great vision. Under the Make In India initiative,the government has mandated to develope the Software Technology Parks of India (STPIs) and catalyze the Indian MSME growth story.A show of tremendous international repute, CeBIT India is the perfect platform for promoting the small and medium scale enterprises and providing them with global exposure of an incredible scale.” said Mr.Omkar Rai, Director General, STPI

The well recognized international CeBIT show is slated to be a first of its kind Business IT and ICT show in India, dedicated to boost new business in the Indian IT & ITes market and create a platform for generation of new national and international business opportunities, drive new ideas, profitability & growth in India with an exposure to the International markets. The first CeBIT India will take place in 2014 at the Bangalore International Exhibition Centre, (BIEC) on Tumkur Road in Bangalore.
With the aim of showcasing New Perspectives in IT Business, India’s first CeBIT will cover the key IT trends of Cloud Computing, Strategic Big Data, Enterprise Mobilily and Social Media.(Source: Convergence Plus)

Amazon launches online appliances store

Amazon launches online appliances storeE-tailer Amazon today said it has launched a store on its online marketplace featuring a wide selection of home appliances such as refrigerators, washing machines, air-conditioners and dishwashers. As home and kitchen is one of the most sought after categories during Diwali, the launch comes at a time when customers can enjoy shopping for appliances with ease and convenience, the company said in a release. From the comfort of their homes, customers can access a large selection of appliances from leading global and Indian brands like LG, Samsung, IFB, Panasonic, Voltas, Godrej as well as from retailers such as Viveks, Shahs and Next, to name a few, it said.

.For additional convenience and a worry-free shopping experience for customers who purchase these appliances on its marketplace, Amazon.in will help with scheduling of a hassle free installation and demonstration service from the respective brands and retailers, the release added. "We are excited to launch the Large Appliances store in time of Diwali and enable customers to conveniently shop while they engage in festivities," Amit Agarwal, vice president and country manager, Amazon India said.

Amazon said customers buying from Amazon.in's Large Appliances Store can take advantage of an extended warranty offering 1-year and 2-year extensions beyond the brand warranty. This repair and maintenance service will offer hassle-free digital warranty for customers and provide market-leading customer service. In addition, customers also benefit from free transportation for repair as well as free annual preventive maintenance. The extended warranty program is available for purchase from Rs 675 onwards, it added.(Source : Times of India)

Ericsson inks 4G network deal with Bharti Airtel; pockets 2 deals from Idea Cellular
Ericsson inks 4G network deal with Bharti Airtel; pockets 2 deals from Idea Cellular Ericsson Tuesday said that it has inked a 4G network deal with Bharti Airtel, while people familiar with the matter added the Swedish telecom gear maker has also signed some other deals with India's No. 1 carrier and No. 3 operator Idea Cellular. Ericsson didn't give further details of the deal on 4G, a technology which is in its infancy in India. Only Reliance Jio Infocomm has a pan-India license to offer 4G on the 2300 Mhz band (TDD-LTE standard), but it hasn't launched services so far. Bharti Airtel and Aircel have launched services in a few cities on that band. Jio and Airtel, apart from some other telcos such as Vodafone India and Idea, won spectrum in the 1800 Mhz band in the recent February auctions, which can also be used for 4G on the FDD-LTE technology in future which has a wider global acceptance than the TDD-LTE standard.

The people in the know said that the separate one-year deal between Ericsson and Airtel is for the former to provide its prepaid self-care solutions to the latter. The deal covers Bharti Airtel's Night Store, a first of its kind store that enables customers to buy value for money offers on their prepaid mobile for internet usage and local calling at night (12 midnight to 6 am). Airtel's Night Store is available in Himachal Pradesh, Delhi, Chennai, Andhra Pradesh, Karnataka, Mumbai, Tamil Nadu, UP (West), J&K, West Bengal, Bihar, Rajasthan, North East, Assam telecom circles. Ericsson had already bagged a five-year deal from Vodafone India for managing pre-paid charging system for the company's nearly 75 million customers spread across five key circles. The world's largest network equipment maker has also bagged two other deals from Aditya Birla Group company Idea Cellular. One of the people said that Idea has selected Ericsson for real-time charging for its postpaid subscriber base. The telco has also awarded an Evolved IP Network (EIN) solutions data charging deal to Ericsson.

Ericsson's EIN solution delivers subscriber broadband services, such as triple-play, 2G/3G/4G and Wi-Fi over a unified IP transport using VPNs. The solution was originally launched in February this year. ET had earlier reported that the Helsinki-based Nokia has received a security solution contract from Reliance Jio Infocomm and a network expansion contract from Uninor. Nokia Networks' major deals were primarily on 2G, 3G, managed services and upgrading of old telecom networks to modern internet protocol based networks. (Source: Economic Times)

Altium releases its TASKING ARM Cortex-M Embedded Development Tools for the Mac
Altium releases its TASKING ARM Cortex-M Embedded Development Tools for the Mac

Easy to use ARM IDE with unique Software Platform Builder for Mac
Altium Limited, a global leader in Smart System Design Automation, 3D PCB design (Altium Designer) and embedded software development (TASKING) announces the release of its TASKING VX-toolset for ARM Cortex-M for Apple Mac computers running OS X.Traditionally embedded software development tools have been available exclusively for the Windows operating system and Altium has a long history in providing its TASKING cross compilers and debuggers for running on Windows, including its TASKING VX-toolset for ARM Cortex-M.

With ARM Cortex-M based microcontrollers becoming popular in broad market consumer applications, especially with wearable electronics and electronic systems that can be controlled from the iPhone, it is apparent that embedded software engineers want to use the Mac as their development platform.To serve this development community, Altium has developed a native OS X port of release v5.1r1 of its TASKING VX-toolset for ARM Cortex-M, bringing its C compiler suite with Eclipse based IDE and debugger to Mac computers.

"Given the growing popularity of Mac OS X and the development of ARM Cortex-M based embedded applications connecting to applications on the iPhone and iPad platforms, we're excited to offer our TASKING Embedded Development Tools to Mac users," said Harm-Andre Verhoef, Product Manager TASKING. “Altium's product offering will empower embedded ARM based developments and provide Mac users with the tools to bring their embedded applications to life."

Previously, embedded-application developers that preferred Mac computers relied on virtual machines hosting the Windows operating system within OS X in order to run an embedded cross compiler. This led to an inefficient workflow and a variety of challenges, including problems connecting a debug probe reliably to the debugger running inside the virtual machine. The native port to OS X of the TASKING compiler breaks down the barriers for developing embedded applications for Mac users, while allowing them to work efficiently in their platform of choice. Cooperation with STMicroelectronics made it possible to offer in-circuit debug capabilities with the Eclipse integrated TASKING debugger, using the USB port on the Mac to connect to the ST-LINK/V2 debug probe.

TASKING’s Viper compiler technology used in the ARM compiler ensures platform compatibility for developers on OS X and their colleagues using Windows, allowing for easy migration and collaboration. The Viper technology has an industry proven reputation of generating highly efficient and robust code for automotive applications like power train, body control, chassis control and safety critical applications, benefiting developments for broad market and industrial applications.

Key features of the TASKING VX-toolset for ARM Cortex-M for Mac OS X include:

  • Eclipse based IDE with integrated compiler and debugger
  • Highly efficient code generation, allowing for fast and compact applications
  • Support for a wide range of Cortex-M based microcontrollers from different vendors, such as STMicroelectronics, Freescale, Infineon Technologies, Silicon Labs, Spansion, Atmel and Texas Instruments
  • Integrated code analyzers for:
    • MISRA-C:1998, C:2004 and C:2012 guidelines
    • CERT C secure coding standard
  • Fast and easy application development through TASKING’s award winning Software Platform technology, bringing:
    • an industry standard RTOS
    • a wide range of ready to use middleware components, such as support for CAN, USB, I2C, TCP/IP, HTTP(S), Bluetooth, file systems, graphical user interface, and touch panel control
  • Eclipse integrated Pin Mapper for assigning signals to microcontroller pins
  • In-circuit debug and programming support through ST-LINK/V2 probe (including on-board probes on starter-kits from STMicroelectronics)
  • Native support for 64-bit Intel-based Macs with Mac OS X

Developers using OS X that require certification of their embedded application for functional safety standards such as IEC 61508 and ISO 26262, benefit from TASKING’s ISO 26262 Support Program for its new ARM toolset on OS X. A manufacturer of an electronic (sub) system is responsible for obtaining certification credit and as part of the process has to assess the required level of confidence in the utilized software tools. Altium supports this through the availability of a Compiler Qualification Kit as well as optional Compiler Qualification Services.The VX-toolset for ARM release v5.1 is available now on OS X Mavericks, and on OS X Yosemite once it is widely available. Pricing starts at USD 1,995 (€ 1,595) for the TASKING VX-toolset Standard Edition and USD 2,995 (€ 2,395) for the Premium Edition with the award winning Software Platform. Hardware debug support is available in the Professional and Premium Editions through the ST-LINK/V2 debug probe from STMicroelectronics.(Source : Convergence Plus)


Tax authorities say Uber liable for service tax, seek information from India subsidiary

Tax authorities say Uber liable for service tax, seek information from India subsidiary Uber, the taxi app that became popular in India by offering luxury car rides for a little more than the regular fare, could run into trouble with India's service tax authorities in the first such inquiry against a foreign service provider in the ecommerce space. This comes shortly after the company was recently forced to fall in line by the Reserve Bank of India, which insisted that it couldn't sidestep credit card security norms. "We believe the company is liable for service tax since it is delivering a taxable service," a service tax department official in Mumbai who's aware of the development told ET. "We have sought details from Uber's Indian arm."

Service tax authorities have sought information from Uber's India subsidiary, which provides systems support to the company, over non-payment of the levy.  The company said it was in compliance with local laws and paid taxes in all countries in which it was present. "Uber complies with all applicable tax laws, and pays the relevant tax in every territory it operates in," a company spokesperson said in an email. "Across 10 cities in India, Uber employs many local employees, in addition to empowering thousands of driver partners to become small business owners, earning a good living through the Uber platform."

Uber BV has no India office

"All payments on the Uber system are cashless and fully traceable in an industry that has been notoriously cashbased for years," the spokesperson addded. In India, all services attract tax at the rate of 12% unless it's included in a negative list or specifically exempted by the government. Taxi services are not in the list and are therefore liable to pay. Uber users register their credit card details with the company, which uses that to charge for rides. Cab drivers and owners enter into tie-ups with Uber, for which the company charges a 20% commission. The company has an Indian entity — Uber India Systems Pvt Ltd -- but it operates in the country through Netherlandsbased Uber BV. Service tax authorities say it's the first time they are dealing with a case in which an overseas mobile application is providing services used by Indians. 

Uber doesn't have an India office or a representative in the country, which makes the task of tax authorities difficult, they said. "We have recorded a statement of officials from the Indian entity," said the official. Though the investigation is currently restricted to Mumbai, the department is looking to expand this to places where the company has a presence. Rival cab service providers pay service tax and thus tax authorities do not see any reason for Uber not to do so. Service tax is liable  only on revenue above Rs 10 lakh and an individual cab driver may not attract tax if turnover is lower than the threshold. But in the case of Uber, the tax authorities are going to take into account combined turnover. 

Globally, the taxation of e-commerce companies is under intense focus as they overturn traditional models of doing business. The OECD and the G20 have begun discussions on how countries should tackle taxation in the e-commerce space that poses fresh challenges to tax authorities as companies avoid tax by operating through multiple jurisdictions. The US Company gained customers after it offered high-end cars such as Audis and BMWs to users. Rides are paid for by card without the need for two-factor authentication, which requires users to key in a PIN. (Source: Economic Times)

Google chairman Eric Schmidt warns NSA spying could 'break' the internet

Google chairman Eric Schmidt warns NSA spying could 'break' the internetGoogle's Eric Schmidt said on Wednesday US online spying is a threat so dire it could wind up 'breaking the internet.' Schmidt's concern was echoed by Facebook, Microsoft, Dropbox and others involved in a panel discussion in Silicon Valley led by Senate finance committee chairman Ron Wyden. The discussion was about economic and regulatory backlash caused by a US spying scandal that has undermined trust in US internet firms ability or willingness to keep people's online communications private. "The impact is severe, and it is getting worse," Google's executive chairman and former chief executive said.

"The simplest outcome is that we are going to end up breaking the internet." Panelists say government-erected barriers to the free flow of data online would essentially break the internet ecosystem that powers economies and lets people share and collaborate across the globe. Threats are already emerging as countries propose trade barriers disguised as regulations calling for internet companies to host data or services locally, instead of on servers in the United States, panelists said.

Pressure for such 'data localization' includes keeping digital information in the hands of local companies and not US internet firms. Such laws would defy online efficiencies on which US technology firms rely. "The notion of having to place data centers and the data itself within regions is fundamentally at odds with the way the internet is architected," said Facebook general counsel Colin Stretch. Compelling US technology firms to have facilities in countries where they have users would hinder the creation of start-ups for which Silicon Valley is famous for. "Imagine if Larry (Page) and Sergey (Brin) were sitting around the garage and the Number Two thing on the to-do list was to build a data center in Germany," said Dropbox general counsel Ramsey Homsany, referring to the Google founders early days building the search engine in a rented garage.

Technology start-ups that cannot afford international expansion would find it harder to win investors, according to John Lilly, a partner at Silicon Valley venture capital firm Greylock Partners. Panel members called for US legislators to rein in online snooping and win back trust from the international community. In the meantime, they backed taking matters into their own hands by improving security and encryption at their services and networks. "In the absence of better law, we are all being compelled to invest in better technology," said Microsoft general counsel Brad Smith. "If people in government are concerned about encryption, they need to invest in better laws." Leaks last year by former National Security Agency analyst Edward Snowden sparked a massive row over internet and phone data sweeps conducted by the spy agency and US allies. "The one asset the US has stronger than our military might is our moral authority," Smith said during the panel discussion of damage caused by the spying scandal. "This decline in trust has not only affected trust in technology products but in the leadership of the United States."(Source: Times of India)

PC market still weak despite gains in US, Europe

PC market still weak despite gains in US, EuropeThe personal computer market is still ailing, despite showing some signs of recovery in several key markets. PC sales in the third quarter rebounded in the US and western Europe. But shipments continued to fall in China, Japan and other Asian countries, where more people with smartphones and tablets apparently see little reason to buy laptop and desktop machines. The contrasts emerged in two separate reports released by research firms International Data Corp (IDC) and Gartner Inc. IDC estimates worldwide PC shipments during the three months ended in September totaled 78.5 million units, a 2% decline from last year.

Gartner pegged the worldwide sales at 79.4 million units, a decrease of less than 1%. This marks the ninth time in the past 10 quarters that worldwide PC shipments have dropped, a slump driven by the growing popularity of mobile devices for work, entertainment, information and communications. The downturn has been easing now that most people who wanted a tablet computer and could afford to buy one have done so, particularly in the US. That phenomenon has been hurting Apple Inc, where iPad shipments fell 13% in the first half of the year. "Consumers' attention is slowly going back to PC purchases," Gartner analyst Mikako Kitagawa said.

Many consumers and businesses have been replacing PCs running on the Windows XP operating system that Microsoft Corp stopped supporting during the spring. PC sales in the US rose by 4% in the third quarter, according to IDC. Gartner estimated PC shipments surged by nearly 10% in a region anchored by Europe. The situation is much different in China and other countries where people tend to have less money to spend than in the US and western Europe. Consumers who don't already own a PC in Asia are more likely to buy a tablet or smartphone with a large screen to handle their computing tasks, Kitagawa said. Even with those challenges, the PC market now appears to be in its best condition since 2011. IDC is projecting a "healthy" holiday shopping season for PCs, with another sales increase anticipated in the US during the fourth quarter.

The PC industry remains on shaky ground, though, because much of the market demand is for less expensive laptops such as Google's Chromebook. Prices for those lightweight machines begin at less than $200. The thin profit margins on low-priced PCs may discourage some manufacturers from remaining in the market, warns IDC analyst Jay Chou. The challenges facing the industry contributed to Hewlett-Packard Co's recently announced decision to spin off its PC and printer business from the rest of the company. HP's worldwide PC shipments increased 4 to 5% in the third quarter, leaving the company as the second-largest PC maker, according to IDC and Gartner. China's Lenovo Group remained the largest PC maker after its third-quarter shipments climbed by 11%, the research firms said.(Source : Times of India)

Indian public cloud services market to reach $638 m in 2014: Gartner

Indian public cloud services market to reach $638 m in 2014: GartnerIndia’s public cloud services revenue will reach $638 million by the end of 2014, a 34 per cent increase over 2013 revenue, according to a study by research and analysis firm Gartner. Public cloud services revenue is driven by high rates of growth in key market segments, namely cloud infrastructure as a service (IaaS) and software as a service (SaaS), two of the largest segments in the public cloud services market. Spending on SaaS will total $249 million in 2014, a 37 per cent rise over last year. Spending on IaaS will grow 33 per cent to $77 million during the same period, Gartner said in a statement.

Gartner predicts continuing high rates of spending on cloud services in India through 2018 when the market is expected to reach almost $2 billion. “The expanding use of information technology in India, coupled with aggressive adoption of cloud services, makes India a rich market for cloud services growth. Organisations in India see cloud services as a means to develop new applications and support a more effective use of IT budgets,” said Ed Anderson, research vice president at Gartner. According to Gartner’s latest cloud adoption survey, organisations in India demonstrate a preference for public cloud services beyond most other countries.
About 53 per cent of organisations in India indicate they are using cloud services today, with another 43 per cent indicating plans to begin using cloud services in the next 12 months. (Source: The Hindu Businessline)

E-tailers make it a dull Diwali for retail stores

E-tailers make it a dull Diwali for retail storesIt is a sight that's becoming increasingly common across electronic and mobile phone stores: the customer walks in, checks out the product, its price, and then flips open his smartphone and logs on to an e-tailer's website to check the online price. And more often than not, finds the price offered by e-tailers to be much more attractive.The result: poor sales at the brick-and-mortar shops as online stores such as Flipkart, Snapdeal and Amazon are snapping customers away. Not just for mobiles and electronic goods, but white goods, shoes, clothes, household goods, books — you name it. The online discount euphoria has hijacked the Diwali rush from retail showrooms this year, and not surprisingly, the mood in markets is distinctly downbeat.

"Footfalls at dealerships this time are nowhere near the levels they usually are during the festival season. The days leading up to Diwali have traditionally been bumper days for us. But the excitement is missing this time around," says a retailer at Gurgaon. "We cannot match the prices offered by e-tailers as we have higher overhead costs."Take, for example, the 13-inch model of Apple's MacBook Air laptop. While traditional retailer Tata-owned Croma sells it for Rs 72,900, e-tailer Amazon is offering it at Rs 57,798 and Flipkart for Rs 67,999. Similarly, a Bosch washing machine is available at Rs 29,990 on Flipkart, but is retailing for Rs 34,000 at a store in central Delhi's Lodhi Road. The same is the case in Lajpat Nagar, one of Delhi's largest markets, where the rush is usually the heaviest during the festive period because it is traditionally considered to offer better bargains than other markets.

"There is a big pressure, and especially in categories like mobiles phones, laptops and computers," says Sahil Gupta, manager at Vijay Sales, a leading consumer goods retailer there. Electronics and white goods category, which includes televisions, refrigerators and washing machines, has been particularly impacted by events such as the online 'Big Billion Day Sale'. "Customers are confused. They are coming to us and asking for the same discounts that were advertised in online sales. How can we sell them an iPhone 5S at Rs 34,000? It's ridiculous," says a mobile phone dealer from Pune. "It's surprising how the phones with the heaviest discounts just disappeared within a few seconds during online sales. E-tailers are perhaps advertising these fantastic prices to get hits on their websites."

Another dealer from Kerala has a similar story. "It is a tough situation. Most customers have delayed their purchases and are waiting for the next online sale. In all probability, they won't get the items. But they can't let go the temptation of stealing a fabulous bargain."The excitement about the online sales scheme is such that even smaller shopkeepers are feeling the heat. "Online has impacted our business badly and sales are down by as much as 50% to what they normally are during the Diwali rush," says Aman Sehra, who has a small watch store in Lajpat Nagar.Online sales are 1-2% of the estimated $500 billion retail business in the country, but growing rapidly. While the top consumer goods companies such as Samsung, LG and Sony get nearly 95% of their sales from the traditional brick-and-mortar stores, the demand in the online world is growing at breakneck speed. The showrooms are fighting back, even as they face mounting pressure. Ajit Joshi, CEO of Infiniti Retail (parent company of Croma), says that the last word is yet to be said on this growing rivalry between the two sales mediums.

"The undercutting that was noticed on Monday (during Big Billion Sale) will not last. How long can anybody burn money?" asks Joshi, making an indirect reference to the e-tailers selling products even below the cost price. "There is a limit to all this."E-tailers are forcing the brick-and-mortar players to change the way they do business. Croma, for instance, has tied up with Snapdeal besides selling through its own website. Others are talking of similar strategy to deal with the online onslaught. In the process, a hazy outline of change in the retail business is emerging. If anyone is celebrating this change, it's the customer.As Atul Chand, divisional chief executive, ITC lifestyle retailing, says: "The consumer is fast evolving and seeking different channels as part of their shopping journey. The online channel provides the benefit of information while brick & mortar offers a physical experience. Both channels have a role to play and feed into each other." (Source: Times of India)

 
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