Dunzo defers salary payments again; Zolostays Co-founder Akhil Sikri exits

Hello,

Flipkart VIP has entered the chat.

Ahead of this festive season, the ecommerce battle is heating up. Walmart-owned Flipkart has launched a new subscription programme in direct competition with Amazon’s Prime membership offering, albeit at one-third of the latter’s current price—Rs 499 per year. Flipkart VIP’s benefits are applicable across all of Flipkart Group’s offerings, including Myntra, Cleartrip, Flipkart Wholesale, and Health+, among others.

This is Flipkart’s second fee-based subscription offering as it had introduced Flipkart First in 2014 at  Rs 500 per year. However, the company eventually discontinued it. The ecommerce giant also has a loyalty programme—Flipkart Plus, which still exists and was actually revamped earlier this August with the launch of two tiers: Plus and Plus Premium. 

Elsewhere, Prosus-backed PayU has elevated Anirban Mukherjee as its global CEO, following the exit of Laurent Le Moal from the role. Mukherjee will be responsible for the overall business operations at PayU. 

Meanwhile, Meesho has opened its platform to non-GST sellers after the GST Council decided to allow ecommerce platforms to onboard non-GST sellers with an annual turnover of up to Rs 40 lakh. 

Last, but not least, here’s at what age you can retire across the world. 

Spoiler alert: Saudi Arabia has the lowest current retirement age at only 47 years with full pension benefits.

In today’s newsletter, we will talk about 

• Dunzo fails to pay June-July salaries
• Zolostays Co-founder Akhil Sikri exits
• GenAI is more than a passing fad

Here’s your trivia for today: What was the first fruit to be eaten on the Moon?

Quick Commerce

Dunzo fails to pay June-July salaries

In an internal email, cash-strapped startup Dunzo told employees it would pay the remaining salaries for June and July by February 2024, citing the current business situation. The payout will include an interest of 12% p.a. based on the employee's service period, it said in the email seen by YourStory.

The Reliance Retail-backed company first communicated the delay in pending salaries for June-July in August.

Going downhill:

• For former employees, the remaining payments, which include August and September salaries for the days served, will be paid by January-February 2024, as part of the full and final settlement.
• The development comes shortly after two of Dunzo co-founders—Dalvir Suri and Mukund Jha—were said to have exited the Bengaluru-based firm, as it battles a severe liquidity crisis.
• Dunzo denied Jha's exit, adding that he would remain an integral part of the leadership while the company undergoes restructuring. Both Jha and Suri had played key roles in the company’s daily operations over the last few months.

Real Estate

Zolostays Co-founder Akhil Sikri exits

Akhil Sikri, Co-founder of ZoloStays, is stepping down from the company to embark on a new entrepreneurial venture. While the details of his next venture are not clear, as per company sources, Akhil was present at a recent meeting with the Zolo board, top management, and investors to discuss Initial Public Offering (IPO) plans.

Rejigs:

• Zolostays had been preparing for Akhil's replacement for over a year and a half before his departure, which came approximately four months ago. 
• At present, Zolo is trying to reposition itself as a premium accommodation provider to boost revenue. 
• It has become more discerning while selecting assets, preferring only high-quality properties. Also, it is implementing design enhancements at its existing properties to reposition them as higher-tier units. 

Technology

GenAI is more than a passing fad

In the landscape of technological progress, GenAI has emerged as a remarkable achievement. Vaishali Kasture, Director and Country Head of AWS Commercial Business India and South Asia, emphasised that GenAI is not a passing fad that is going to go away tomorrow.

In the last six months, whether in a casual dinner conversation, a meetup with a friend, a discussion with a CEO, or a board meeting, GenAI has been an integral topic, Kasture said.

Here to stay:

• According to her, the convergence of data, massive computing capacity, and machine learning models has significantly piqued curiosity, and “we are now at that tipping point for GenAI”.
• As people embrace this revolution, it's crucial to build their AI practice on two key pillars: responsible AI, with a focus on ethical foundations; and sustainable AI, considering environmental impact and resource consumption in their solutions.
• Kasture also highlighted that the average organisational lifespan has shortened to approximately 10 to 12 years, and embracing technologies like GenAI can help power a business and keep it innovative.

News & updates

• AI for jobs: LinkedIn will add AI features to its core businesses, allowing recruiters to find job candidates by asking questions in natural language and letting marketing professionals create ad campaigns in a few clicks.
• Robot chef: Chipotle Mexican Grill is testing a robot made with Hyphen technology that can assemble burrito bowls and salads. Restaurants are investing heavily in automation, but it may be years before the technology pays off.
• Dry powder: European VC firm Atomico has raised $1.1 billion to invest in startups, defying a broader slowdown in the tech industry. It raised the fresh money across its new venture and growth funds, nearing its goal of $1.35 billion for both vehicles.

What was the first fruit to be eaten on the Moon?

Answer: Peach. It was consumed during the Apollo 11 mission in 1969. The peach was part of a wider meal that also included a fruit drink containing pineapple and grapefruit juices.

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