> Most of the money that is coming into India is Prive > Equity-related, who typically invest in very late-stage or > public companies. So, I guess it is a bit of an error to say > billions of VC money is pouring in...I suspect a good chunk > of change is PE-money. But, that does not preclude the fact > that millions of VC money is available in India.
That's a fair enough assumption. But the problem is not if the amount is millions or billions. It's just that ... The same exact Silicon Valley VC firms and Silicon Valley "experienced" VC's are flying down to India to make these deals. So why cannot the same companies and "VC-teams" see the same value in Indian startups that they see in Valley startups? After all ... Many of the variables are similar .. It's not like different issues/services/technologies are being used in different markets. Same GSM, same J2ME, same .Net, same AJAX, same e-commerce. What is definitely different is the value of each customer or each eyeball (a $20 book on Amazon vs. a Rs. 200 book on FabMall (yeah, name changed, I know!) and a $3 adsense price for a US click vs. a Rs 5 value for an Indian click!) So don't go around angel-investing the same 5 lakh dollars .. Rather invest 50 thousand. - Vinit
