Retail giant Amazonhas introduced Nova—a new family of foundational AI models capable of generating text, images, and videos at AWS re:Invent, the company’s annual conference.  

According to the company’s blog post, the Nova suite includes four text-generating models: Micro, Lite, Pro, and Premier. Nova Micro is a text-to-text model, while Nova Lite, Pro, and Premier are multi-modal models capable of processing text, images, and videos to generate text. 

Multi-model here refers to the ability of the model to process multiple types of inputs, spanning from text, images, audio, or video, and generate an output based on that combination. 

Additionally, the tech behemoth has introduced two specialised models, Nova Canvas and Nova Reel, designed to create studio-quality images and videos, respectively.

“Inside Amazon, we have about 1,000 generative AI applications in motion, and we’ve had a bird’s-eye view of what application builders are still grappling with,” said Rohit Prasad, SVP of Amazon Artificial General Intelligence. 

“Our new Amazon Nova models are intended to help with these challenges for internal and external builders, and provide compelling intelligence and content generation while also delivering meaningful progress on latency, cost-effectiveness, customisation, Retrieval Augmented Generation (RAG), and agentic capabilities,” he added. 

Nova Micro, Lite, and Pro are up to 75% more cost-efficient compared to the top-performing models in their respective categories within Amazon Bedrock, said the blog. 

The newly launched AI offerings have already gained traction from several large enterprises such as SAP, Deloitte, and Dentsu Digital, among others. 

For instance, Musixmatch, a lyrics platform with over 80 million users, has integrated Amazon Nova Reel into its Musixmatch Pro offering, to allow creators to distribute lyrics across major digital streaming platforms and social networks. Budding artists can utilise the ‘Nova Reel’ feature to create high-quality music videos by using their song’s context as input, along with customising them with prompts.

Even if MapmyIndia gives up its plans to invest ₹35 crore in the business-to-consumer (B2C) venture of its former CEO, market analysts say it won’t wash away the stains on the company’s reputation or fix its deeper governance problems.

The controversy stems from CE Info Systems’ recent exchange filing about its CEO Rohan Verma. According to the filing, Verma would leave MapmyIndia to start a new business-to-consumer (B2C) venture. What caught investors’ attention was the investment structure: CE Info Systems, MapmyIndia’s parent company, would invest in this new venture through two channels—first taking a minority 10% stake for ₹10 lakh, and then providing a much larger investment of ₹35 crore through compulsory convertible debentures (CCDs). This meant Verma would retain 90% ownership of the venture while accessing significant funding from the listed company.

CCDs are a combination of debt and equity that can later be converted into equity shares. They are commonly used by startups seeking capital while maintaining control over equity distribution.

Shriram Subramanian, Founder of proxy advisory firm InGovern Research Services, cuts through to the real issue. “The promoters have misunderstood that the Rs 35-crore investment to support the B2C business is the concern for minority shareholders. On the contrary, it is the 90% promoter ownership of a business that was incubated and will derive all resources from the listed company, that is the concern,” he points out.

He further warns that “investors will always suspect that funds from the listed company will be used on the sly.”

This structure means any profits would benefit the promoter, while the listed company bears the operational costs and risks.

Deepak Shenoy, Founder and CEO of Capitalmind, a SEBI registered portfolio manager, drives home the governance red flag: “The issue is of governance because now shareholders cannot participate in the growth of the consumer business. Therefore, most of the value added that’s created in the consumer business is lost essentially.”

For MapmyIndia, founded in 1995 by husband-wife duo Rakesh Varma and Rashmi Verma, the fallout has been severe. Subramanian delivers a stark assessment: “Reputation and goodwill with investors built over 30 years has now been lost. Investors that consider good governance will not touch the company with a bargepole.”

Market impact

The market’s verdict was clear. CE Info Systems’ shares hit a 52-week low of Rs 1,534 during Tuesday’s trading, before closing at Rs 1538.65 on BSE. The decline extended losses from Monday, following the weekend announcement and subsequent conference call. They were trading at Rs 1,560.75 at 12:20 pm on Wednesday.

During the Monday conference call, the company described its consumer business as a “distraction,” suggesting the separation was intended to protect MapmyIndia’s profit and loss statement from the new venture’s losses. This comes as MapmyIndia reported an 8.2% drop in consolidated net profit at Rs 30.3 crore, despite revenue from operations climbing 14% to Rs 103.7 crore in the quarter ended September 30, 2024.

While Rohan Verma told The Economic Times that he’ll fund the B2C venture himself instead of taking the Rs 35 crore from the parent company, experts say the company’s approach to its consumer business needs rethinking.

Queries sent by YourStory to Rohan Verma were unanswered at the time of publishing this copy.

Alternative solutions

The company’s rationale for separating the B2C business hasn’t convinced investors. Shenoy dismisses the current reasoning as weak and points to the Jio Financial-Reliance model as a better solution: “If you wanted to separate it because it has low margins, you should demerge it and get all shareholders to own a part of it. Those shareholders can then sell those shares whenever they want.”

He elaborates that a demerger would allow the business to develop independently and raise additional capital without impacting the parent company’s margins. “The business can take new hues and not be consolidated with the current business because it is demerged. Therefore, there is no fear that those margins will come and impact the parent company. You will be able to build that business independently and raise more money independently,” he explains.

Subramanian says, “If they wanted to spawn a B2C business it should have been spun off as a 100% subsidiary and external capital raised in that subsidiary.” This structure would ensure the venture remains under CE Info Systems’ control, rather than being primarily owned by Rohan Verma as initially proposed.

He also emphasises accountability: “The board of directors, especially the independent directors, are accountable for signing off on such a structure.”

Economic tides may ebb and flow, but India’s entrepreneurial ecosystem is poised for continued growth. Rising digital connectivity and tech investment are set to help India’s startup ecosystem grow 2.6 times by 2030.

Amid new market trends, business challenges, and opportunities, a few companies are emerging as game changers and helping shape tomorrow’s landscape today. Whether it’s through innovation, strong leadership, or delivering what customers need, these 10 companies have stood out in 2024.

The Green Chapter

Founded in 2018 by mother-daughter duo Anchal and Aanvi Jain, The Green Chapter is all about eco-ethical choices and supporting local artisans. It makes sustainability effortless with a range of planet-friendly products. From seed paper notebooks and bamboo travel kits to cork-based office essentials like file folders and yoga mats, every product is crafted with care for the environment. The company’s handmade crochet bookmarks and flower bouquets, created by local artisans, add a personal touch to sustainability. The Green Chapter, which represented India’s eco-friendly collection and sustainable products on a global stage in Milan, also offers zero-waste hotel amenities kits and unique corporate gifting options.

Bordoloi Biotech

Dr Binoy K Bordoloi, Founder of Bordoloi Biotech, is a pioneering scientist and entrepreneur with over 35 years of experience in medical devices and pharmaceuticals. He developed HerboJoint (India) and HerboCare (USA), integrating Ayurvedic wisdom with modern science. Bordoloi’s innovations in peritoneal dialysis and wound management have earned multiple patents. He authored Naamghar in America, highlighting the neo-Vaishnavite Guru Sankardeva’s prayer house. His contributions extend to community service, including leadership roles in cultural organisations and philanthropic efforts in Assam and North America.

Cake2homes

Cake2homes, founded by Hemin Shah in 2017, has rapidly grown into one of India’s leading gifting delivery services. Specialising in cakes, flowers, and gifts, the company operates in over 150 cities, offering tailor-made packages for every occasion. Known for its punctuality and exceptional service, Cake2homes fills a significant gap in the market, ensuring timely and high-quality deliveries. From humble beginnings, Shah has navigated the company through challenges, including financial struggles and personal setbacks. Cake2homes, a trusted name among households and corporate clients, has a strong online presence, and continues to make every celebration special.

HSW Embroidery Machines

Founded in 2013, HSW Embroidery Machines is a rising brand in the embroidery industry. An emerging name in India, the company has revolutionised traditional embroidery by transforming intricate, time-consuming handwork into seamless, machine-powered creations with cutting-edge technology. HSW has a presence abroad, and has also impacted global markets. Notably, it has enhanced the lives of over 4,000 women, empowering them to achieve financial independence and better lifestyles. HSW believes in creating “embropreneurs”, combining tradition with technology to transform the embroidery industry with passion and purpose.

Bibliophiles 

Bibliophiles is a brand that crafts premium personalised school supplies for children aged 0-7 years. The company’s range includes personalised labels, stationery, apparel accessories, activity kits, and books, all designed with positive parenting principles in mind. Bibliophiles focuses on reducing screen time, fostering empathy, enhancing a sense of belonging, and promoting well-rounded growth in children. Rooted in real parenting insights, its child-safe, practical, and attractive products support meaningful early childhood development. In just one year, Bibliophiles has served over 25,000 customers, built a 5,000-strong mothers’ community, and gained 22,000 followers.

Contetra 

Contetra Private Ltd, led by ex-Big 4 consultants, specialises in finance transformation for MSMEs and mid-size companies. The services it offers include ERP consulting for successful implementation and ROI optimisation (ERPNext, Odoo, SAP, Oracle, Microsoft), virtual CFO services to drive MSME growth with real-time performance insights, GAAP Advisory for IFRS/Ind AS/US GAAP compliance, process excellence to streamline MIS and AR/AP cycles, and upskilling and resourcing to empower finance teams.

Rangreli

Started in 2015 by Prashant Sharma and Kumarika Singh, Rangreli has grown into a beloved home decor brand that is celebrated for its artistic nameplates for homes and offices. The catalogue, which blends functionality with artistry, includes a stunning range of lamps, wall art. and serve ware. Rangreli aims to be an A-to-Z solution for home decor and custom gifting. From hand-painted nameplates and Pichwai-inspired wall art, to table lamps and serve ware, it transforms homes into artistic havens. With 20,000+ loyal customers, Rangreli has thrived through its D2C model and makes handcrafted elegance widely accessible.

Teachnook

Kajal Dave, Co-founder, Teachnook, began her journey in Amsterdam, where she completed her master’s in business. Driven by a vision to provide quality education at minimal costs, she explored online education with Teachnook. Over three years, she has scaled Teachnook’s operations, achieving remarkable revenue growth and establishing a thriving workforce. Now, with her new venture, Launch Ed, Dave is revolutionising the e-learning world by introducing cutting-edge initiative programmes like SaaS career training, global internships, and research paper mentorship, pioneering paths that redefine what online learning can achieve.

Xtraminds Digital Solution Ltd

Mamta Kumari is a serial entrepreneur and digital marketing strategist with a proven track record. Currently, as Co-founder and marketing head of Xtraminds Digital Solution Ltd, she helps her clients devise effective digital marketing strategies for growth. She believes that “nothing matters more than the ROI” for her clients, and she has helped D2C and B2B clients from India, the US, Canada, Australia, and the Middle East grow their sales by 10X. A Delhi University graduate with 9 years of experience, she has founded and led marketing for companies such as Keeto and Twofold IT Solution.

Eewa Farms

Eewa Farms was born out of Founder Saurabh Arora’s deep concern for the chemicals in our food and groundwater contamination. Disturbed by these realities, and after 20+ years in the corporate world, he set out to bring professionalism and purpose to farming. Drawing from a decade of exploring sustainability and visiting 70+ farms, he built a venture focused on residue-free, nutritious produce through hydroponics. With strong family support and a dedicated team, Eewa Farms leads the way in clean, responsible, ethical, and innovative agriculture for a healthier future.