Alert: Foxconn chief meets PM Modi, Rahul Gandhi, Karnataka & Telangana CMs; to visit Chennai tomorrow

One quick thing: RBI tightens rules for NBFC-P2P lending platforms

In today’s newsletter: 

• Headcount cut fuels Indian IT majors' revenue per employee
• Ecom Express files DRHP for Rs 2,600 cr IPO
• How Anna University fosters innovation

Was this newsletter forwarded to you? You can sign up for Tech3 here

FY24 was a challenging year for the Indian IT sector. 

• Amid a tightening job market, the top five IT companies collectively laid off over 69,000 employees 

This reduction in workforce had a direct impact on the industry's performance.

Revenue per employee or RPE, a metric measuring the revenue generated by each employee, saw a 5.6% year-over-year growth in FY24. 

• Among the top 5 IT giants, only Infosys managed to achieve double-digit RPE growth

An industry veteran, however, noted that RPE should not be considered an absolute growth metric, as it must also account for several other variables.

The rise of artificial intelligence (AI) and generative AI (Gen AI) has played a crucial role in driving up RPE.

• As Gen AI is poised to mature and improve efficiency and productivity, analysts expect RPE to only increase here on over the next 12-18 months

Go deeper

Logistics player Ecom Express is back for another shot at the IPO market. 

After shelving its plans in 2022 due to market conditions, the company has once again filed its draft papers, aiming to raise Rs 2,600 crore via the IPO.

• Of that, the company is looking to raise Rs 1,284.5 crore through a fresh issue 

• And the remaining Rs 1,315.5 crore will be the offer-for-sale portion by existing shareholders

British International Investment Plc, Warburg Pincus, individual promoters Kotla Satyanarayana, Manju Dhawan, Kotla Sridevi and Kotla Rathnanjali will all sell shares as part of the OFS. 

• The company may also consider raising up to Rs 256.9 crore via a pre-IPO placement. If that goes through, the fresh issue size will be reduced accordingly

Since Ecom Express last tried to go public, the logistics industry has seen major shifts. 

• Rival Delhivery has already listed, and another player, Shadowfax, is gearing up for its own IPO 

Meanwhile, e-commerce giants are increasingly building their own logistics arms, reducing reliance on third-party providers.

Find out more

Behind startups like rocket maker Agnikul Cosmos and others are not the popular IITs or IIMs, but the equally prestigious College of Engineering, Chennai.

Established in 1794, the College of Engineering, Guindy (CEG), at Anna University, continues to shape India's future innovators and has a rich legacy of turning student ideas into impactful ventures. For instance:

• CEG played a key role in developing Anusat, India's first university-built microsatellite
  
  
• It also produced India’s first women engineers

Retired professor Uma Maheshwari notes how students from different departments work together on projects, from obstacle-detecting cars to satellites like Anusat.

Agnikul Cosmos CEO Srinath Ravichandran, credits his success to the freedom CEG provided. 

"No one stops you from pursuing your interests," he says

CEG’s hands-on learning and strong mentorship prepare students for real-world challenges. 

• Students often collaborate with postgraduates and PhD candidates, gaining vital experience.

Go deeper

India’s golden boy, Neeraj Chopra, got home a silver medal at the Paris Olympics despite his injury, an achievement that has caught the attention of brands.

• His brand portfolio is expected to increase by 50%, rising to 32 endorsements from the current 21.

Chopra’s brand value, which stood at $29.6 million in 2023, is projected to grow by 50%. His endorsement fee is expected to reach Rs 4.5 crore per year.

• Athletes like Chopra are driving the endorsement market for emerging sports, a segment that contributes 13% to India’s total sports endorsement market.

Find out more

• SoftBank’s plan to collaborate with Intel on an AI chip to rival Nvidia fell apart after Intel failed to meet the Japanese firm’s requirements, according to the Financial Times.
  
  
• Google is extending its AI-powered search experience, AI Overviews, to consumers in India and five other countries including the United Kingdom, Japan, Indonesia, Mexico, and Brazil.

First up, jump into the world of Manorathangal. 

• This star-studded anthology brings to life the timeless short stories of MT Vasudevan Nair

With a dream team of directors and a cast that reads like a who’s who of Malayalam cinema, this series is a must-watch! Check it out on Zee5

If you prefer a thrilling detective saga, Shekhar Home is your ticket to a gripping weekend. 

• Kay Kay Menon takes center stage as a Sherlock Holmes-inspired detective navigating the complexities of early 1990s Bengal. Watch it on JioCinema 

Note: By subscribing to Tech3 you have already made the right choice. Top it up with a premium offering, the Moneycontrol Pro Panorama, a newsletter that gives you a sharp take on macros, markets, business and finance. Sign up for Pro from this link to get this newsletter in your inbox and also a host of content enjoyed by 700,000+ subscribers.