So here is what you can see that Haptik is acquired by Reliance Jio, which is B2B solution of chatbot for enterprises. So what does this startup do? Know this! Chatbots are build which is deployed by the company on several websites, applications, and multiple platforms.
Reliance Industries Ltd's passion and interest with the startup space continues. And here you can see that it has come in the planned form with the investment of 700 crores (about $100 million) in enterprise conversational AI startup Haptik by telecom giant Reliance Jio for around 87 percent stake.
If we go through the total investment, the transfer of the initial business is Rs 230 crore. Hectic said in the release that on the fully diluted basis, Reliance Industries will hold about 87 percent of the business with the rest being held by Haptik founders and employees through stock option grants.
And here are the words of Akash Ambani, Director where he speaks on the investment,
Our ecosystem will be boosed through the strategic investment and provide Indian users conversational AI enabled devices with multilingual capabilities. We believe voice interactivity will be the primary mode of interaction for Digital India. We are delighted to announce this partnership and look forward to working with the experienced team of Haptik.
With the investment, Haptik's existing shareholder Times Internet will exit the company. As part of the investment, Haptik's business and holdings will be transferred to a new company Reliance Jio Digital Services Limited but products will continue to be branded as Haptik. In the future, however, Haptik could use the Reliance brand name.
So why Reliance?
Speaking on the stake acquisition, Haptik Cofounder Aakrit Vaish says,
This investment by Reliance Jio offers us a unique opportunity to massively scale up our operations and make a significantly greater impact in the conversational AI space. It will provide us with the resources and the support to develop world-class conversational AI technology across both enterprise and consumer product lines.
So here are some advantages for Haptik from the deal:
Platform: Haptik will get access to the Reliance Jio platform, and its existing customer base of over 300 million
Capital: Growth capital as well as resources to meet current and future plans
Vision alignment: The stake acquisition by Reliance Jio will align Haptik with the former's vision to touch 1 billion customers
Haptik's cofounders and employees will hold a minority interest in Reliance Jio Digital Services. The Mumbai-based company will operate independently with its own culture, vision, and brand led by Cofounders Aakrit and Swapan Rajdev.
The Haptik team will also continue to drive the growth of the business, including the enterprise platform as well as digital consumer assistants, the release said.
Aakrit added that the company's vision to become the worlds largest conversational AI company remains. He said conversational AI, being a deep technology, needs patient capital. Reliance is one of those very few large companies that have such a big vision. The pace, belief, and understanding they have in conversational AI are unparalleled and even beats many large global giants. It, therefore, made great synergic sense to work with Reliance.
Building the B2B side
Haptik was founded in 2013 on the belief that mobile messaging would be the preferred communication platform over the next decade. The messages are sent to the virtual assistants by the users through the apps, and answers which are received by troubleshooting via mobile.
Today, Haptik is a B2B solution for enterprises. It builds chatbots that companies can deploy on websites, apps, and other platforms. It uses a mix of AI, ML, and natural language processing for its chat platform. When chatbots first came, there was a lot of hype. Everyone thought they were building the next Jarvis, and the world would be AI-powered. But that did not happen.
What did, though, was their use in enterprise tech started becoming clearer. Building tech companies out of India is not easy there are challenges and the biggest one is working with no rule book or the right talent. Also, the first year was spent in educating the market, he explains.
In June 2018, Haptik also designed the chatbot for Dream11 during crickets IPL season. Our customer service chatbot for Dream11 went live before the IPL season started. The results were unexpected to us. The volume of queries handled and answered was so high that we had to allocate additional server space, he explains.
So here you can see the monthly result that it is claimed by Haptik to reach over 39 million devices and billion chat transactions are processed. Its clientele includes Coca Cola, Samsung, IIFL, and Sharekhan.
As you can see in 2017 and 2018, the company had a top line of Rs 4.58 crore, a sharp rise from Rs 1.58 crore in 2016-17, according to filings with the Registrar of Companies.
For catering the next 500 million users, a strategy is to bring up some Indian languages and the support of the language. Said by Aakrit.