Cash-rich Chinese groups with a penchant for investment and ready to expand their footprints across Asia by taking risks are pushing hard to grab some stakes in the Indian startup market.
The Chinese groups seem to be ready to take risks while Indian investors are hesitant about putting money into startups.
The Chinese groups willing to put money into the Indian scenario are Baiidu, Alibaba Group and Tencent Holdings, jointly known as BAT, and their first ventures are in the nascent yet ebullient smartphone market.
"India is the last big frontier for the global mobile Internet. BAT as global heavyweights will definitely play a role in shaping this ecosystem. Given their investment track record and deep sector expertise, I think many Indian startups would welcome their participation," Vikram Vaidyanathan, managing director at Matrix Partners India, told Economic Times recently.
"(Alibaba Group) has invested close to $1 billion (in Indian startups), which is the largest from China," Vijay Shekhar Sharma, founder and chief executive of Paytm added, adding "They have the sharpest focus among the three."
Tencent, which owns mobile app WeChat, in August invested in online healthcare startup Practo as part of a $90-million funding round.
BAT is also looking to back up startups in the sectors of real estate, travel, education, etc, according to a Business Insider