5135: India's online gaming sector gets a referee; Slice to raise $100 million; and Infosys beats Street in Q4 but guidance disappoints

Infosys beat street estimates in Q4 but guidance disappoints.

India's online gaming sector gets a referee.

Soys to raise $100 million.

Amazon's $2,800 crore rupees of quick commerce push.

Anthropics might toss a risk for fintech.

Says DFS Secretary.

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Alright, let's start with online gaming where India now has a clear rule book in place.

The center has notified the promotion and regulation of online gaming rules,

bringing the 2025 law into effect from May 1st.

Now this sets up a central framework to regulate the sector,

which has operated in a gray zone so far.

Now at the core of the rules is a clear distinction,

permissible games include e-sports and social gaming,

while any game involving staking or wagering is classified as prohibited online money game.

Now that means such games cannot be offered, advertised or even facilitated.

Now payments like entry fees or in-app purchases are allowed,

but only if they are not linked to wagering outcomes.

Now a new online gaming authority of India will act as the central decision make-up.

It has powers to summon records, issue directions and even order date dumps.

Now it can also direct intermediaries and payment firms to block access or transactions.

Now violations come with penalties of up to Rs 1 crore and 3 years in jail.

For platforms, not all games need to be registered.

Only those flagged based on risk or category once approved registrations will be valid for 10 years.

There is also a tiered grievance system that moves from the platform to the authority and then to the IT secretary.

So overall the focus is now on how games generate revenue

and that will determine whether they are allowed to operate.

Alright, moving on to Fintech.

Big developments here, West Lies is preparing for its next funding round.

The Bangalore based company is in talks to race between $80-100 million from investors,

including Axel, Elevation and Peak 15 partners.

Now this will be the Fintech's first major fund race since transitioning into a small finance bank.

The round could also include a secondary component depending on how discussions evolve.

The valuation is now expected to be under $1 billion which is lower than the $1.4 billion it commanded in 2022.

Now this is also the first and the company may bring in pure play venture capital firms at a late stage

with investments likely coming from their growth funds.

Now the funding talks come after the company indicated it has done profitable

and also expanded its banking operations.

It is currently showing around 3 lakh bank accounts every month

and has seen deposits grow after its merger.

So the round, if completed, would place lies among set of startups

that have raised large rounds this year across sectors.

Alright, moving on to quick commerce, where the race for faster delivery is intensifying.

Amazon is investing rupees $2,000 into crore to expand its rapid delivery service Amazon now.

Now the service currently operates through more than 300 micro fulfillment centers

and plans to expand further across cities.

The strategy is focused on scale adding more notes to reduce delivery distances and speed up fulfillment.

Now this investment builds on an earlier 2000 crore rupees logistics push.

The company made in 2025 to the company is adding fulfillment centers,

sortation hubs and last mile delivery stations, especially in tier 2 and tier 3 markets.

Now alongside Infra, there is also a tech layer here.

AI and machine learning are being used to optimize routes, reduce idle time and improve delivery efficiency.

At the same time, there is also focus on workforce support,

including rest facilities, safety alerts and health coverage for delivery partners.

Now the broader shift here to understand is that speed is becoming a key differentiator

and companies are investing heavy to support that.

Alright, moving on to AI and regulations, significant development coming in,

where anthropics might or model its now under scrutiny in India.

Government and regulatory authorities are assessing the potential risks and opportunities linked to the model,

especially for the financial sector.

Now a recent meeting today chaired by the finance ministry brought together officials

from the Department of Financial Services or DFS, Minty and Certain,

indicating a coordinated approach.

Now the RBI is also engaging with global regulators and banks to evaluate risks.

So early assessment suggests that such models could accelerate the discovery of software vulnerabilities,

raising cyber security concerns for India.

Now regulators in other regions including Japan and Australia are also reviewing the impact of similar tech.

The focus right now is on understanding how such AI systems could affect financial infra

and what safeguards may be required.

And finally, the ID earnings where enforces has reported its fourth quarter numbers.

The company posted a net profit of about 8,500 crore rupees,

which was up around 27.8% quarter on quarter.

This has beat analyst estimates revenue came in at around 46,400 crores.

This was also up around 2% sequentially.

Operating margins also seems to have improved for the IT company with EBIT margin expanding to 21%

from 18.4% in the previous quarter.

And the company also announced a final dividend of rupees 25 per share.

However, growth remains modest revenue growth is limited and the company has given a cautious guidance

just like other IT firms.

We heard yesterday for F527 projecting about 1.5 to 3.5% growth in constant currency terms.

But infrasists seem to have fed better compared to other IT companies that we saw yesterday.

Now this aligns with trend seen across the IT sector where the guidance has been very cautious.

Companies continue to report steady deal pipelines.

But cautious demand due to global macro economic conditions and lower discretionary spending

is continuing.

We will have to wait and watch how the whole sector performs.

All right, now to wrap for today's episode of Tech 3 from Money Control.

A big shout out to our reporters from the tech and startup team for the stories we covered today.

Thank you so much, listeners.

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So, tune in for more news, minus the boring bits.

This is Bhavya the Likkumar signing off.

You were listening to Money Control's Tech 3 podcast.