Snapdeal Buzzing: Microsoft Branded Store, Alibaba/Foxconn May Jointly Invest $500M In Them
Snapdeal has been buzzing over last couple of days and why not, they are forging partnerships and are in funding talks with some of the major global corporations.
Firstly, Microsoft has partnered with Snapdeal to come up with an exclusive Microsoft branded store on their platform. And, rumours are making rounds that Alibaba and Foxconn are jointly picking up 10% stake in Snapdeal at a valuation of USD 5 billion!
Snapdeal Microsoft Branded Store
Microsoft’s own branded store on Snapdeal is already live. Microsoft has been steadily increasing its market share in India, and their partnership with Snapdeal is yet another step to make Microsoft devices more accessible to Indian masses online.
While Microsoft does sell their devices online through Amazon India, it is on piecemeal basis. The branded store on Snapdeal promises to offer users with exclusive deals and offers. all at one place. The store is not only for mobile devices, but also other products as well as software. Along with mobiles, they have tablets, laptops and softwares listed too.
Interestingly though, the product and software prices are slightly higher on their own branded store compared to other sites. For example, here is a comparison for Microsoft Office 365 personal edition.
|Site||Microsoft office 365 Personal Price|
|on Microsoft Snapdeal Store||Rs. 2885|
|on Flipkart||Rs. 2560|
|on Amazon||Rs. 2870|
Alibaba, Foxconn May invest $500 Million in Snapdeal at $5B Valuation
In what might be a really great news for Snapdeal in their fight against Flipkart and Amazon, Chinese e-commerce behemoth Alibaba and Apple iPhone Assembler Foxconn are in joint talks to invest $500 million in Snapdeal for 10 percent stake according to a WSJ report (pay walled). If the deal goes through, Snapdeal will be valued at whopping USD 5 billion valuation!
Like it’s counterpart Flipkart, Snapdeal too has been raising big ticket funding. Here are the 6 rounds of funding that Snapdeal has raised till date.
|First Round||Nexus Venture Partners, Indo-US Venture Partners||January 2011||USD 12 Million|
|Second Round||Bessemer Venture Partners, Nexus Venture Partners, Indo-US Venture Partners||July 2011||USD 45 Million|
|Third Round||Ebay, Intel Capital, Nexus Venture Partners & Others||June 2013||USD 50 Million|
|Fourth Round||Kalaari Capital, Nexus Venture Partners, Bessemer Venture Partners, Intel Capital and Saama Capital||Feb 2014||USD 133.77 Million|
|Sixth Round||Softbank & Others [Yet undisclosed]||October 2014||USD 627 Million|
|Seventh Round||Alibaba & Foxconn||June 2015||approx USD 500 Million ( still rumoured)|
We will update the post when we get official confirmation about this funding