After the hullaballoo pertaining to the news of Microsoft buying TikTok, the Chinese company, the tech giant is planning to expand its growth in India through ShareChat. Sources say that Microsoft is going to invest $100 million in the Indian platform after deals with TikToklaid low due to the restrictions put by Trump.
IANS reported that the multinational company’s interest in funding is in its initial stages. This amount will account for a third of the total value that ShareChat has announced to be expecting in this financial term of the funding.
Currently, the home-grown social media platform, which supports regional languages, boasts more than 140 million active users on a monthly basis. ShareChat, however, chose not to comment on the matter.
To help its users in conversing with their friends in their own language, the app offers a diverse range of languages, rounding up to 15 that include Hindi, Malayalam, Gujarati, Marathi, Punjabi, Telugu, Tamil, Bengali, Odia, Kannada, Assamese, Haryanvi, Rajasthani, Bhojpuri and Urdu.
The company had grown to a great extent in 2019; becoming one of the most popular platforms and raising $100 million in the D Series round of funding. The Bengaluru company’s success urged Twitter to come aboard as well.
Last month, Moj, the short video sharing application of ShareChat’s company had exceeded five million downloads by users on Google Store, which was achieved in the span of a week.
The business house migrated its network and data to Google Cloud to enhance its work efficiency, increase profits, cut down costs leading to the improved performance and stability of the application.
As a major chunk of its users belongs to non-metropolitan cities, the app needed to support all signal strengths as these individuals use 2G networks.
Amid the speculations of Microsoft trying to buy the global acquisition of TikTok, this new venture of the company with an Indian app came as a surprise.
With TikTok banned in India, along with dozens of other applications due to their Chinese owners, America too stepped ahead to announce the ban which will be put in action from September 15th.
Financial Times said that Microsoft is aiming to obtain the Chinese video-sharing app’s work in North America, New Zealand, and Australia, reportedly for a price of $50 billion.
The President of America, Donald Trump, sanctioned a couple of executive orders which states that no company or individual is now further allowed to sign any deal with owners of Chinese companies WeChat and TikTok.
After the prohibition on transactions, he said that if any American company does buy the apps, a huge portion of the profits should be given to the country by those firms.
Microsoft has already confirmed that it wanted to go forward with further discussions to purchase the operations of TikTok in the US.
Microsoft CEO and Donald Trump had come to a mutual decision of closing the deal for buying TikTok on a date close to September 15th.
