Avengers: Endgame grosses more than $1bn within 5 days. Amazon Pay announces launch of P2P payments service. Government may ban Deloitte over allegations of malpractices in IL&FS audit process. India continues to lag behind China on every geopolitical metric, as per the Lowy Institute's Asia power index.
Moving on to the top Business stories of the day.
India continues to lag behind China on every geopolitical metric, as per the Lowy Institute's Asia power index.
Lagging Behind: As per the Lowy Institute's Asia power index, which ranks countries according to economic resources, military capabilities and diplomatic influence, India continues to lag behind China on every geopolitical metric.
Lacking Economic Muscle: Beijing has continued to outspend India on defence, implemented sweeping reforms in its military and diplomatic structures, and built strategic infrastructure in the last five years even as the incumbent government boasts of establishing India as a "space power".
Skewed: India only has roughly 940 diplomats compared to China's estimated 7,500. This irregularity is echoed in the armed forces wherein India still spends the bulk of its defence money on salaries and pensions, rather than new equipment, while China has cut back on non-combat personnel and instead modernised its military technology with space and cyber operations.
Therefore, even as one can argue that India is better off strategically than it was five years back, the fact remains that it is falling further behind China instead of slowly closing the gap.
Bonus: When Narendra Modi became Prime Minister in 2014 one hoped that he would build India into a fast-growing economy like China’s, with an efficient bureaucracy and advanced factories attracting billions in investment from multinational corporations. Five years later, with Modi seeking a second term in India’s general elections, it’s clear that he won’t make India the next China, because it’s not possible. Read this article to know why.
Amazon Pay announces launch of P2P payments service. Visa committed to facilitate India’s cashless journey while adhering to RBI’s data localization rules.
Amazon Pay, the digital payments arm of e-commerce giant Amazon has announced the launch of person-to-person (P2P) payments on its platform.
Amazon had rolled out UPI with Axis Bank in February this year and now intends to offer the entire suite of payment products to its UPI users with its peer-to-peer payments.
As India embarked on a journey towards digitisation of payments, mobile wallets and Unified Payments Interface might have hogged the limelight, but the good old plastic card continues to be one of the most formidable payment instruments in the country. Visa, which is one of the largest card schemes globally, has been bringing in innovation to help India in its cashless journey.
In an interaction with ET, Visa Card global President Ryan McInerney noted how Visa is not only adhering to RBI’s data localization rules but has also been bringing in innovation to help India in its cashless journey. Read the exclusive interview here.
Government may ban Deloitte over allegations of malpractices in IL&FS audit process.
The Ministry of Corporate Affairs may invoke section 140 (5) of the Companies Act to ban management consultancy firm Deloitte for over five years on back of alleged fraud in Infrastructure Leasing & Financial Services (IL&FS) audit process.
FYI: In case Deloitte gets debarred, it would be the second such instance after Price Waterhouse (PW) in Satyam scam.
No Pain No Gain: Yes Bank CEO Ravneet Gill has decided to mend past ways and come clean on digressions. Having reported the biggest quarterly loss in 14 years at INR1,507cr for the quarter ended March 31, on back of spike in provisions against bad loans, primarily to IL&FS Group and Jet Airways, Gill has promised a more modest growth rate of 25% for Yes Bank henceforth.
Early Birds Disappoint: Q4 FY19 was expected to be a redeeming quarter for Corporate India, making up for the weak financial performance in the first three quarters. However, as per the earnings report of over 104 companies India Inc is then staring at another washout year in FY19.
The combined net profit of these companies across sectors is down 0.5% YoY during the quarter, their worst showing in at least three years. A deep dive into the matter here.
Avengers: Endgame grosses more than $1bn within 5 days. Clocks INR157cr within three days of release in India, ranking in the highest opening weekend for a Hollywood film.
Walt Disney’s Avenger: Endgame has collected an estimated $1.2bn in its first five days of release.
Of this c. $350m came from the US and Canada – breaking the previous opening-weekend record set last year by “Avengers: Infinity War” by about $92m.
Endgame could become the highest-grossing movie of all time, beating the record set by Avatar, which made $2.79bn globally in 2009.
The latest offering from Marvel has taken the Indian box office by storm, making INR157cr within three days of release. This ranks the move in the highest opening weekend for a Hollywood film in the country so far, breaking the record previously held by Avengers: Infinity War.
Magic Leap raises $280m from Japan’s largest mobile operator, Docomo.
Take My Money: Florida-based augmented reality company, Magic Leap has raised $280m from Japan’s largest mobile operator, Docomo, bringing the total cash raised by the company till date to $2.6bn.
It is rather interesting to note here that no other startup in the consumer electronics space has ever raised this kind of cash while still private.
What’s the Plan: DOCOMO aims to co-create advanced MR services and expand the XR market by leveraging open innovation and combining innovative technologies such as Spatial Computing provided by Magic Leap with DOCOMO’s assets including our 5G network and 70 million membership base.
Uber’s S-1leaves multiple questions unanswered. Here’s a look at some of these.
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