Wall Street’s multi-year confidence in artificial intelligence is undergoing a major stress test, as investors increasingly view OpenAI—and the broader generative AI sector—not as a guaranteed engine of exponential growth but as a potential source of systemic risk for the technology industry. A dramatic selloff in tech stocks on Thursday highlighted the market’s growing frustration with the “spend now, profit later” strategy that has powered the AI boom for the past three years. Microsoft led this downturn, with its shares plunging 12 percent by midday, wiping out more than $440 billion in market value in one of its worst collapses since the pandemic era. The Nasdaq index was also down nearly 2 percent during the session. Skepticism Grows as Microsoft’s OpenAI Commitments Fuel Market Turbulence The shift in sentiment appears largely driven by concerns over soaring capital expenditures. Microsoft disclosed that its capex jumped 66 percent to $37.5 billion in the latest quarter, even as growth in its Azure cloud unit softened. More alarming for analysts was the revelation that roughly 45 percent of Microsoft’s $625 billion in remaining performance obligations is directly tied to OpenAI. The scale of this exposure raised fresh questions about whether OpenAI can generate sufficient…  ​Read MoreBusiness Archives – Trak.in – Indian Business of Tech, Mobile & Startups

Even after the Karnataka High Court ruled in favour of bike taxis, riders on the streets continue to face hostility and intimidation. The court’s decision, delivered on January 23, was welcomed by bike taxi platforms, riders, and daily commuters who saw it as a win for affordable mobility. Bike Taxi Riders Face Continued Harassment Despite Karnataka High Court Clearance In contrast, autorickshaw unions reacted sharply against the ruling and have continued to resist the presence of bike taxis. According to riders, the situation on the ground has worsened since the earlier ban on bike taxis was lifted. Balaji Venkat, a 58-year-old bike taxi rider, said that aggression from auto drivers has increased rather than subsided after the court verdict. Describing his experience, he said, “They hurl all sorts of vile abuses at us, but it doesn’t just end there. The auto drivers have no fear of the law, and they come to attack us physically.” He recalled being attacked by a group of auto drivers while he was alone and said he had to dial 112 to seek emergency help. Following the incident, he chose not to retaliate and instead advised fellow riders to contact the police immediately rather than…  ​Read MoreBusiness Archives – Trak.in – Indian Business of Tech, Mobile & Startups

Starting March 1, 2026, businesses with any ownership by green card holders will lose access to US government-backed small business loans. This change comes after the US Small Business Administration updated its citizenship and residency requirements for borrowers. Green Card Holders Barred from SBA-Backed Small Business Loans Starting March 1, 2026 The revised policy affects major SBA loan programs and applies regardless of how small the ownership stake held by a lawful permanent resident may be. An official SBA policy notice announcing the change was released on February 2, 2026. Under the new rules, 100% of both direct and indirect owners of a business applying for SBA-backed loans must be either US citizens or US nationals. In addition to citizenship status, all qualifying owners must have their primary residence within the United States or its territories. As a direct result, lawful permanent residents will be prohibited from holding any ownership interest in a business seeking SBA-supported financing after the effective date. The policy update amends Standard Operating Procedure 50 10 8, which governs SBA lender and development company loan programs. SBA Withdraws Policy Allowing Limited Foreign or Non-Resident Ownership Alongside this revision, the SBA has withdrawn an earlier procedural notice…  ​Read MoreBusiness Archives – Trak.in – Indian Business of Tech, Mobile & Startups

During the end of the last year, we heard about LinkedIn developing its AI-powered Hiring Assistant which is an AI agent for recruiters, available globally in English. AI Powered Hiring Assistance – Automate Pre-screening of Job Applications This tool utilises a proprietary large language model (LLM) specifically fine-tuned for recruiting.  Moving ahead, this tool has the ability to personalise and automate pre-screening of job applications, flag skill mismatches and trust gaps, and be tested for risks such as hallucinations and bias, as per the earlier data. This indicates AI’s increasing role in many workflows in enterprises and recruiters, too, are using it to speed up hiring while still making considered decisions about candidates. LinkedIn announced Verified Skills, which allows professionals to display verified abilities on their profiles, in partnership with AI companies Descript, Lovable, Realy.app and Replit at the start of this month. The vice president of product for LinkedIn Talent Solutions, Hari Srinivasan notes that AI is now fundamentally changing how hiring decisions are being made by giving a more nuanced view of a candidate’s skills beyond traditional markers such as degrees or school in a media interaction. Further adding that LinkedIn’s research shows that 74% of Indian recruiters…  ​Read MoreBusiness Archives – Trak.in – Indian Business of Tech, Mobile & Startups

This Sunday, the centre has raised the limit for passengers bringing duty-free imported goods into India from ₹50,000 to ₹75,000. On February 1, 2026, the government notified that a resident or a tourist of Indian origin arriving in India other than by land, shall be allowed clearance free of duty articles, up to Rs 75,000, if such articles are carried on the person or in the bona fide accompanied baggage of the passenger, under the Baggage Rules, 2026. New Baggage Rules 2026 & Its Impact  These latest baggage rules, 2026 have already come into effect from midnight on February 2 and replace a decade-old baggage rule. Now, a tourist of foreign origin, not being an infant, arriving in India, shall be allowed duty-free clearance of articles up to the value of ₹25,000 which was ₹15,000 in the Baggage Rule, 2016. Consider a case of a resident or tourist of Indian origin, who is residing abroad for more than 1 year, on return to India, shall be allowed duty-free clearance of jewellery up to a weight of 40 grams, only if brought by a female passenger.  This limit is set to 20 grams if brought by anyone other than a female…  ​Read MoreBusiness Archives – Trak.in – Indian Business of Tech, Mobile & Startups

In a clear response to evolving global immigration policies, Google’s parent company Alphabet is planning one of its largest expansions in India by leasing office space in Bengaluru that has the potential to hire up to 20,000 additional employees. The expansion centres around the Alembic City tech corridor in east Bengaluru, where Alphabet has already leased one tower and secured options for two more, collectively totalling about 2.4 million square feet of workspace. This expansion would substantially grow Alphabet’s footprint in India — where it already counts thousands of employees — and underscores the country’s importance as a key technology and innovation hub. Why India? H-1B Visa Restrictions Push Talent Strategy Shift The backdrop to this move is a tightening of U.S. immigration policies, particularly around the H-1B work visa programme. Recent changes have made H-1B visas both more restrictive and more expensive, with reports of fees rising dramatically and selection processes favouring highly paid roles. These shifts complicate the ability of U.S. tech firms to bring foreign workers — especially from India — into the United States. As a result, companies like Google are recalibrating how they build global teams. Instead of relocating large numbers of engineers to the…  ​Read MoreBusiness Archives – Trak.in – Indian Business of Tech, Mobile & Startups

Shares of Indian IT giants plunged sharply recently following the launch of an advanced AI tool suite by U.S. start-up Anthropic, sending ripples through global markets. The announcement triggered widespread investor concern that powerful AI systems could disrupt traditional software service models and reduce reliance on large human workforces — especially in sectors long driven by labour-intensive IT services. What Caused the Market Reaction? Anthropic, a San Francisco-based artificial intelligence company known for its Claude family of large language models, unveiled a suite of workplace automation plugins under its Claude Cowork platform. These tools are designed to automate complex tasks across legal work, sales, data analysis, marketing, and other professional functions — areas traditionally served by large software teams and outsourcing providers. The launch raised investor fears that such AI systems could start replacing work that human teams currently perform — prompting concerns over future revenues for companies whose business models depend on selling software, services, and outsourced labour. Analysts described the situation as a potential “SaaSpocalypse,” highlighting a fear that AI could make some traditional software roles obsolete rather than just complementary. Indian IT Stocks Bear the Brunt The impact quickly showed up on Dalal Street. India’s NIFTY IT…  ​Read MoreBusiness Archives – Trak.in – Indian Business of Tech, Mobile & Startups

Marico’s INR 226 Cr Cosmix Bet Marico is betting big on health-first, D2C brands. In its second acquisition in a week, after popcorn brand 4700BC, the FMCG giant will now pick up a controlling stake in plant-based protein startup Cosmix Wellness at a hefty valuation. So, what does the deal look like? The Finer Print: The FMCG major will acquire a 60% stake in the wellness-focussed D2C brand from its two founders at an INR 375 Cr valuation, pegging the deal at INR 226 Cr. However, cofounders Vibha Harish and Soorya Jagadish will stay on and retain operational control.  The Acquisition Thesis: The deal makes sense for both parties. For Marico, the D2C brand offers a scaled and profitable brand, with product-market-fit, digital reach, supply-chain depth, and distribution. It also saves the FMCG major the trouble of building a brand in the space from scratch.  On the other hand, Cosmix will likely tap into Marico’s existing muscle to expand offline and scale sustainably, without the need to chase venture capital.  Retracing Cosmix’s Journey: The story starts in 2019, when Harish turned her Bengaluru apartment into a makeshift factory to start a clean-label D2C protein brand. However, instead of splurging heavily…  ​Read MoreInc42 Media

Material Depot, a home interior materials marketplace, has raised $10 Mn (about INR 90 Cr) in a Series A round co-led by Accel and Stellaris Venture Partners. The round also saw participation from Whiteboard Capital, DeVC, Soma Capital, MyAsiaVC, along with multiple angel investors.  These included Livspace’s Ramakant Sharma, Curefoods’ Ankit Nagori, Bharatpe’s Shashvat Nakrani, Spinny’s Niraj Singh, Tracxn’s Abhishek Goyal and Supertails’ Vineet Khanna, among others.  Material Depot intends to use the funds to expand its offline presence by setting up experiential stores across Bengaluru and Hyderabad over the next few months, cofounder Manish Reddy told Inc42. The startup currently operates 3 experience centres in Bengaluru, where it is also headquartered.  “These are very high ticket purchases, made once or twice in a decade, and people want to make very informed decisions. That’s why the offline experience centres play a key role in conversion. So business acquisition happens online, and the conversion happens offline,” Reddy said.  Founded in 2021 by Reddy and Sarthak Agrawal, Materials Depot is a digital marketplace focused on home interior materials, connecting contractors, interior designers, and developers with verified suppliers.  Customers can shop from its curated collections of home interiors, or use inputs from their…  ​Read MoreInc42 Media

Minister of State (MoS) for IT Jitin Prasada yesterday informed the Parliament that the Centre has disbursed funds worth INR 93.75 Cr to 241 startups under the Startup Accelerator of MeitY for Product Innovation, Development, and Growth (SAMRIDH) scheme in the last five years. Under the initiative, the IT ministry (MeitY) partners with accelerators to offer incubation services and a matching funding support of up to INR 40 Lakh for selected startups. It also provides financial support of INR 2 Lakh per startup to the selected accelerators.  In a written reply, Prasada informed the Lok Sabha that the ministry has so far onboarded 43 accelerators under the scheme, which have incubated 373 new-age tech ventures. He also noted that MeitY startup hub monitors and evaluates the performance of selected accelerators on an annual basis. “The SAMRIDH programme, aims to accelerate around 300 startups through existing and upcoming accelerators in healthtech, edtech, agritech, consumer tech, fintech, SaaS, and sustainability. Under the SAMRIDH programme, 186 accelerators submitted expressions of interest, leading to the selection of 43 top accelerators across 16 states,” added Prasada. In response to a separate question, MoS IT also said that the country was home to 2.07 Lakh DPIIT-registered…  ​Read MoreInc42 Media