Facebook is purchasing a stake in an Indian e-commerce start-up business Meesho, the head of the U.S. tech titan’s Indian corporate said on Thursday, observing to develop its influence in one of the world’s major internet markets.
Meesho, a digital stage on which re-sellers of the whole thing – from jewellery to cell phones reach potential clienteles via social media stages such as Facebook, WhatsApp and Instagram, already has around 2 million businesspersons engrossed on India’s smaller towns and cities, the vice-president and managing director at Facebook India communicated Reuters.
“It replicates the new India that is showing up on the Internet,” Ajit Mohan added. He declined to reveal the value of Facebook’s venture in Meesho or the size of the stake it is buying.
The venture will help Meesho to further its “efforts to allow independent businesspersons to shape businesses and grow their client base via social channels”, Meesho said on its website.
Meesho, started by two engineering alumni in 2015, has raised up more than $65 million in capital and counts Shunwei Capital and DST Partners amongst its supporters.
Mohan said Facebook’s venture will help Meesho to make the most of its impact on a fundamental plank of India’s financial growth plan by supporting job formation through entrepreneurship.
Social media stages such as Facebook, its WhatsApp Messenger App and Twitter have arisen under strong scrutiny in India as the central government looks to stiffen rules that could need the firms to monitor digital content around the clock.
India will hold wide consultations with internet companies before finalising rules to regulate content on social media, New Delhi has said previously.