Major Developments in Tech and Finance: GIC Acquires Stake in Groww, Trump Urges Apple, and More
Singapore’s sovereign wealth fund, GIC, has approached the Competition Commission of India (CCI) for approval to acquire a stake in the wealthtech startup Groww. This significant move is part of a larger narrative in the tech and finance sectors, impacting various key players. Below are the main stories in today’s ETtech Top 5.
GIC Seeks CCI Nod for Groww Stake Ahead of IPO
Lalit Keshre, co-founder of Groww, reported that GIC is looking to acquire a 2.14% stake in Groww through its affiliate Viggo Investment.
Why It Matters
This acquisition is integral to Groww’s $200 million pre-IPO funding, which is valued at $6.5 billion. This reflects a nearly twofold increase in its valuation since 2021.
The Big Picture
Groww has recently established itself as India’s largest stockbroker by active clients, transitioning its domicile to India, and preparing to file for its IPO shortly.
Trump Urges Apple: ‘Don’t Expand Production in India’
In a surprising turn of events, former US President Donald Trump has communicated with Apple CEO Tim Cook, advising him against expanding the company’s production in India.
Don’t ‘Make in India’
During a business summit in Qatar, Trump asserted that the focus should be more on U.S. production, stating, “I don’t want you building in India. India can take care of themselves, they are doing very well.”
Apple’s India Strategy
Despite the warning, Apple has invested significantly in India. Previously, it intended for a majority of iPhone exports to the U.S. to be manufactured in India, as evidenced by 97.6% of its iPhone exports to the U.S. originating from India as of March.
Infosys Releases Q4 Bonus; Employees Disappointed by Payouts
In its latest announcement, Infosys issued performance bonus letters to eligible employees for the January-March quarter of Q4FY2024-25. However, many employees have expressed disappointment due to significantly lower bonuses compared to previous quarters.
What’s the Matter?
Most eligible employees received just 50% of their quarterly target bonus, with a few high performers receiving up to 70%. Company insiders hinted that this reduction in bonuses was anticipated.
Current Situation
In contrast, rival firm TCS has delayed salary hikes, citing global economic uncertainty and related tariff issues.
Adobe CEO Shantanu Narayen: AI Users Will Outpace Non-Users
Shantanu Narayen, CEO of Adobe, highlighted the critical role of AI in the future workforce, emphasizing that those who harness AI will replace those who don’t.
On AI’s Industrial Impact
Narayen commented, “People who use AI will replace those who don’t,” showing how the rapid evolution of technology demands new skills.
India’s Creative Economy
According to Narayen, India’s creative economy is flourishing, extending beyond traditional sectors. He believes AI will empower individuals to tell their stories through various platforms.
OpenAI Launches GPT-4.1 and GPT-4.1 Mini
In the ever-evolving landscape of artificial intelligence, OpenAI has introduced two new models: GPT-4.1 and GPT-4.1 mini, aimed at enhancing productivity and coding abilities for users.
About the Models
According to CEO Sam Altman, these new iterations outperform their predecessors. The update will retire the previous GPT-4.0 mini model.
Safety Considerations
Critics have raised concerns about the transparency of these models; however, OpenAI has clarified that GPT-4.1 does not require extensive safety documentation as it isn’t categorized as a frontier model.
Conclusion
These developments across tech and finance sectors showcase the dynamic and sometimes unpredictable nature of the industry. As major players navigate investments, corporate strategies, and technological advancements, the implications for stakeholders and consumers continue to unfold.
Questions & Answers
1. What is GIC’s stake acquisition in Groww related to?
GIC is seeking a 2.14% stake in Groww as part of the company’s $200 million pre-IPO funding round.
2. What did Donald Trump advise Apple CEO Tim Cook?
Trump urged Cook to halt production expansion in India and refocus on U.S. manufacturing.
3. How did Infosys employees react to the Q4 bonus announcement?
Many employees expressed disappointment as payouts were significantly lower than previous quarters, with most receiving only 50% of their target bonuses.
4. What did Adobe’s CEO say about AI?
Shantanu Narayen stated that individuals using AI will have an advantage over those who do not, underscoring the need for new skills in an evolving technological landscape.
5. What new models has OpenAI launched?
OpenAI has launched GPT-4.1 and GPT-4.1 mini, designed to enhance everyday coding and productivity tasks for users, outperforming the previous models.
