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In today’s newsletter: 

• Byju's hit with Rs 9,000 cr FEMA charge
• Bengaluru taps AI to tame traffic woes
• Funding for Scapia, Kiwi, Baaz Bikes

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There seems to be no end in sight for the long list of troubles facing Byju’s. Almost seven months after searching the company's premises, reports suggest that the Enforcement Directorate is once again knocking on Byju's doors. 

This time with a show-cause notice.

The ED has issued a show-cause notice to Byju’s for alleged FEMA violations amounting to Rs 9,000 crore, as reported by CNBC TV-18. 

• The notice has been sent to the parent company of Byju’s, Think and Learn Pvt. Ltd, as well as the founder and CEO, Byju Raveendran

In April, the law enforcement agency claimed to have seized various incriminating documents and digital data during the search of the company’s premises in connection with the FEMA violation case.

In response to the report, Byju's swiftly issued a denial, stating that it has not received any notice from the Enforcement Directorate.

• Hours later, Byju's CEO Raveendran wrote a letter to the company's investors, assuring them of complete compliance with FEMA regulations

Raveendran added that a trusted law firm conducted a due diligence exercise and found no FEMA violations

• In the letter, he also said that the company has maintained a "cooperative stance" throughout the ED's inquiries

OpenAI might be on the verge of a crisis following Sam Altman's departure. However, in a different part of the world, India's tech capital is turning to AI to address a different crisis: traffic congestion.

• The Bengaluru traffic police have recently invited tenders to implement state-of-the-art technology for monitoring traffic

The traffic police in the tech capital have identified 20 high-density traffic corridors and plan to implement AI-powered software (smart traffic engine) to monitor congestion levels and vehicle queues.

• This will provide advanced alerts for upcoming congestion, along with responsive action plans
  
  
• It will also help in understanding patterns in traffic congestion, accidents, violations, and road user perceptions

In an effort to enhance traffic management and promote road safety, the police will be adopting a two-pronged approach: leveraging the potential of Map APIs for dynamic traffic management and installing speed display boards at selected locations on 20 high-traffic-density corridors.

The speed display boards will have a unique feature: a variable message board displaying 'slow down' for overspeed and 'drive safe' for a safe speed, accompanied by a red-faced emoji for overspeed and a smiling face in green for a safe speed.

• Furthermore, cameras will be installed on high-rise buildings at 12 major junctions

Whether AI can effectively control driving etiquette remains to be seen. Some netizens argue that India's traffic management first needs basic intelligence before delving into AI.

Go deeper

It appears that November is defying the notion of a "funding winter" as venture capital (VC) investors are actively investing in startups, particularly in the fintech and sustainability sectors.

In a flurry of activity, three different startups secured Series A funding from VCs in just a single day. Notably, these new funding rounds come months after the completion of their previous seed rounds.

• Scapia, launched in July this year, has bagged a whopping $23 million from Elevation Capital and Binny Bansal's 3State Ventures

• Credit card management fintech, Kiwi, has raised $13 million led by Omidyar Network India

• EV manufacturer Baaz Bikes also secured $8 million in its Series A funding round, led by Singapore-based VC firm BIG Capital and joined by Rakuten Capital

October marked a slowdown in overall deal activity within the startup ecosystem, with data indicating a year-on-year decline of nearly 40% in deal momentum. 

• The total equity raised in October 2023 reached $625 million 

Despite this overall decline, early-stage deals continue to hold significant appeal for investors.

Fintech startups have particularly captured the attention of venture capitalists, as some note that funded fintechs are demonstrating clear pathways to profitability and revenue streams.

• ClimateTech and Sustainability have also emerged as areas of significant interest

In the ever-evolving saga of OpenAI's leadership, turbulence has taken center stage! Amidst the recent ousting of Sam Altman, Microsoft CEO Satya Nadella has expressed his openness to the AI poster boy returning to OpenAI or joining Microsoft.

With the board in disarray and employees in protest, will Altman make a triumphant return? Only time will tell.

Check out the full timeline of the OpenAI rollercoaster so far

• OpenAI investors are considering legal action against the company's board following the ouster of CEO Sam Altman, which has triggered a potential mass exodus of employees.
  
  
• Amazon is launching a new initiative called "AI Ready" that provides free educational courses on generative AI to expand AI skills to learners.

In the ever-evolving landscape of technology, there's a constant stream of news, developments, and controversies that can leave even the most tech-savvy individuals feeling overwhelmed. 

• Enter Hard Fork, a weekly podcast hosted by technology journalists Kevin Roose and Casey Newton, your guides through the tech labyrinth

Roose and Newton bring their expertise and wit to each episode, dissecting the latest tech trends and discussing the impact of technology on our lives.

P.S.: Be sure to check out their recent interview with Sam Altman. It's a conversation you won't want to miss.

Check it out on Spotify or Apple Podcasts

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