Microsoft, the world’s biggest software maker, is changing its strategy to engage with startups. The company has revamped its accelerator programme and rebranded it as ‘Microsoft ScaleUp.’ The programme would support late-stage enterprise startups that have already raised series A funding and have customers. The Redmond, Washington-based firm company had unveiled an accelerator programme six years ago in Bengaluru which supported early stage ventures.
“India today has the third largest number of accelerators and incubators. Our focus now is very clear that we don’t need to run an accelerator. We don’t need to create that ecosystem. It’s really robust,” said Lathika S. Pai, Country Head, Microsoft for Startups, MENA and SAARC, in an interview. “So our focus is...where can we help the most?... How do we get someone who has million dollars in revenue [and] take them to $10 million-$100 million [in revenue]? That’s our goal,” said Ms. Pai. An alumnus of Rochester Institute of Technology, Ms. Pai brings business and entrepreneurial expertise from her long years in the tech industry.
‘Microsoft ScaleUp’ would offer enterprise companies access to co-marketing and co-selling opportunities and hone their infrastructure and build their businesses. It would also help the firms grow across the globe with an intensive Microsoft-led programme in eight global offices including Beijing, Berlin, London and Tel Aviv.
Experts such as Rishikesha T .Krishnan, director and professor of strategy at the Indian Institute of Management in Indore said that some years ago India did not have a critical mass of startups. “Today, we have a good number of startups. The challenge has shifted to who will be able to scale? Those who have reached series A have shown the potential to do so and may be good bets for the future,” said Mr. Krishnan, about the change in Microsoft’s strategy. “Microsoft is possibly looking for potential allies,” he said.
Microsoft, which competes with companies like Google and Amazon in the artificial intelligence (AI) and cloud computing space, has been wooing a lot of AI-led enterprise startups for its accelerator programme. The company provides these firms with access to its cloud computing platform, Microsoft Azure, to build innovations on top of it and scale their products and serve enterprise clients.
“It is about Azure...today we have Flipkart, InMobi, Ola, all on Azure. We want to catch [enterprise companies early], help them through their journey before they become unicorns,” said Ms. Pai of Microsoft.
For instance, WittyParrot which is cloud-based knowledge automation, collaboration and communication platform was part of Microsoft’s accelerator programme. Bajaj Allianz General Insurance company is using an automated video interviewing solution from Microsoft partner and start-up Talview to hire from the untapped talent pool from multiple cities across the country.
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