on August 27, 2018
The first lead article is titled ‘NYC Slams the Brakes on New Registrations’. The New York City council ruled to place a year-long cap on registration of new vehicles for ride-hailing businesses. This comes against the backdrop of worsening congestion, low driver wages, and the decimation of the once-thriving taxi industry, all of which, the pro-ban lobby believes has been caused by the explosive growth of for-hire vehicles. Leaving the political and socio-economic arguments of this new law aside, if the cap goes into effect, which is likely, we believe the revenue impact to the overall ride hailing market and Uber in particular in NYC will be minimal – roughly 6% of Uber’s total consolidated revenue base.
The second article is titled ‘Going from Copycats to Innovators, Chinese Startups are Turning the Tables’. China is accused of shamelessly cloning U.S. tech firms and business models. According to the New York Times, intellectual-property theft accounts for over $600 billion in losses per year in the U.S. Copy to China (C2C) is a term commonly used to describe Chinese companies copying the business model of successful foreign businesses. But some experts are saying that U.S. companies are now ‘borrowing’ from China more than ever before. Copy to America (C2A) could very likely become the next wave.Read More
on August 27, 2018
The two lead articles are Space – Ripe for Disruptive Technologies and Walmart India – Second Time’s a Charm? The space industry is a $350 billion market currently, according to estimates, centered primarily on satellites. Bank of America Merrill Lynch predicts the size of the space industry to reach $2.7 trillion in three decades. A vibrant ecosystem is expected to develop in the space as it increasingly becomes a hotbed of disruptive technologies and services. Besides the high marquee names, there are a number of innovative companies in the wings that are positioning themselves to introduce new technologies in the space.
Walmart is taking a second shot at entering the Indian retail market. The company agreed to take a 77% controlling stake in Flipkart for $16 billion. The jury is still out on the strategic value of the deal. Whether or not Walmart will succeed only time will tell. One thing is for sure: it was too compelling an opportunity to establish a foothold in a country that is expected to grow the fastest in the next few years.Read More
Venture Bytes is a monthly insight report highlighting topical ideas, current trends and emerging opportunities in the global technology landscape