Pune-based IT company Persistent Systems has launched a $10 million venture capital fund to invest in very early stage startups. The fund will act more like as an angel fund and will stay invested in 3-5 years. As per an ET report, the company is targeting to invest in up to 40 start-ups through the fund and has already invested in five startups from within the country as well as outside, especially in the in US and Israel.
Other IT companies like Infosys already has created a $500-million innovation fund, while its rival TCS has associated with an accelerator called Startupbootcamp to have pitch days in the financial capital and Bangalore. In Novemebr 2014, Infosys co-founders has launched new business incubator Axilor Ventures to invest upto $1 million in Indian Startups.
Wipro also has a $100 million corporate venture arm to invest in startups especially in robotics and artificial intelligence niche. Persistent Systems will be looking at acquisitions opportunities to achieve targeted $1 billion in revenues in the next 3-5 years. Currently, the firm has a revenue of about $320 million for FY 2014-15.