Microsoft Accelerator in Bangalore has come out with an ecosystem report ranking 151 B2B (business-to-business) and B2B2C (business-to-business-to-consumer) startups in India. The ranking is based on an ‘enterprise readiness score’ assigned to each of the startups, which were selected out of a pool of over 500 enterprise-focused startups.
The score is derived from three parameters: customer traction, funding velocity (taking into account both the total funds and number of rounds), and size of the company.
We took a deep dive into startups taking on large enterprise problems and deep tech solutions.
Last year, when India saw a funding bonanza, Microsoft Accelerator did a similar report on the best-funded startups, dominated by ecommerce players. This year’s report, focusing on the enterprise market, reflects the change in mood in the ecosystem. “We took a deep dive into startups taking on large enterprise problems and deep tech solutions,” says Ravi Narayan, global director of Microsoft Accelerator.
The study found that more than half of the enterprise-ready startups are in the banking, retail, and healthcare sectors. While the rise of ecommerce players has fueled the need for tech enablers, financial and healthcare enterprises have been the most receptive towards startups to accelerate digitization.
Data analytics and security startups have found it easiest to land customers, while startups catering to the banking sector are the most successful in attracting funding. And fintech startups are likely to be even more in demand now with the bold move by Indian prime minister, Narendra Modi, this week to limit access to cash and force a shift to a digital economy.
The top-ranked startups in 10 categories are arranged in a color-coded ‘periodic table.’ Here are the top five among them across all categories, based on their enterprise-ready credit scores.
Freshdesk, the SaaS star from Chennai, is among four startups in the table with perfect scores. Not surprising, as this global leader in customer engagement software takes on Salesforce with a new product called Freshsales. Sequoia Capital joined the #startup’s earlier marquee investors, including Google Capital, in a US$55 million series F funding round this month.
In a country known for its software prowess, robotics startup Grey Orange has taken the high road to success in hardware. It makes intelligent robots for warehouse automation in ecommerce, logistics, and an expanding range of industries. After establishing a presence in Japan, it aims to gain a foothold in China next year.
Mobile ad network InMobi was SoftBank’s first big investment in India. The Japanese giant pumped US$200 million into the company in two tranches – first US$100 million in September 2011 and the second tranche in April 2012. Years later, that is still one of the largest rounds of capital raised by a mobile ad company. InMobi claims to reach over 1.5 billion unique mobile devices worldwide.
Paladion is a global leader in cyber security, based in Bangalore. Its market has grown exponentially with the widespread shift to the cloud. It analyzes billions of security events from hundreds of customers around the globe, with its big data-based models. Paladion has inspired other startups from India targeting cloud security.
Capillary is one of the early SaaS success stories out of India, with a cloud-based suite of customer engagement software products. Its co-founder, Aneesh Reddy, is also an active mentor in the product startup ecosystem. Its entire founding team is from one of India’s premier engineering colleges, IIT Kharagpur, which has spawned a remarkable number of successful startups.
The Microsoft Accelerator report is available for download here