Simsim, an Indian company, has been acquired by Google’s video-sharing site YouTube, according to a formal deal.
The acquisition is expected to be completed over the next several weeks, according to the company. YouTube hopes to use the acquisition to assist viewers in discovering and purchasing items from small companies in their communities. Although the budget and pricing have not been revealed.
“Small businesses have been using YouTube to extend their online presence for more than 15 years and many of them are using YouTube to reach clients outside of their local community, from interior designers to vendors of silk sarees, to name a few examples. Our objective is to assist small companies and merchants in India reach new consumers in even more effective ways by bringing simsim and YouTube together in a collaborative effort “
-According to a blog post by Gautam Anand, VP, YouTube APAC.
What is the business model of Simsim?
Simsim was created in July of this year by Amit Bagaria, Kunal Suri, and Saurabh Vashishtha, among others.
Bagaria and Vashishtha have experience of being Senior VP at PayTM, while Suri was formerly the MD and COO of Foodpanda.
Through the use of influencer-based videos, the company assists small businesses in their move to e-commerce. It counts Shunwei Capital and Accel Partners among its backers, and it has raised around $16 million to this point.
In a blog post, Google stated that there will be no immediate changes to Simsim and that the app will continue to operate freely as YouTube investigates how to better display Simsim to its users.
How the application works
A network for connecting local businesses, influencers, and customers, the Simsim app was developed by Simsim. The program allows creators to upload video evaluations of items from local companies, and viewers can purchase those products straight from the application.
Currently, videos are accessible in three local languages: Hindi, Tamil, and Bengali allowing retailers of all sizes to contact consumers through video in their preferred language, regardless of their size or location.
Amit Bagaria, Kunal Suri, and Saurabh Vashishtha, the cofounders of Simsim, said in a joint statement,
“We started simsim with the mission of enabling users across India to shop online with ease, enabled by small sellers and brands showcasing and selling their products using the power of content by trusted influencers. The fact that Simsim is a member of the YouTube and Google ecosystem helps it to further its objective.
In terms of technology, reach, creative networks, and culture, we can’t imagine a better environment in which to develop simsim. We are thrilled to be a part of YouTube and are looking forward to developing Simsim within the most renowned technology business on the planet.”
“Our continuing investments in India, like as the India Digitization Fund, are being strengthened by today’s announcement. As we collaborate with our partners to broaden access to the Internet, we are certain that online video will continue to develop as the major source of information, entertainment, and social connections in India, particularly in rural areas “Anand further added in the blog article.