Microsoft close to tie-up with Indian firm, says venture arm chief

Microsoft Ventures, the recently created venture arm of Microsoft Corp, said on Tuesday that it is close to making a strategic investment in an Indian technology start-up, but avoided specifics.

Rahul Sood, general manager and partner of Microsoft Ventures, said at a Nasscom-organised conclave in Bangalore that his company is looking at several business sectors in India, including transportation and education, for potential investment.

The company usually makes early-stage investments in the range of $50,000-$300,000 in start-ups, Sood said.

He said that MS Ventures also looks at larger strategic investments and intends to partially or completely acquire a promising upcoming technology firm as and when such opportunities arise.

Amid a panel that included Rajan Anandan of Google India and Orna Berry of EMC, Sood said India is a key market as far as start-ups go.

''We are close to investing in a start-up in India. Today's start-ups are tomorrow's big enterprises.  Start-ups in sectors like education, cloud, transportation, gaming and entertainment interest us,'' he said.

Sood boasted that his company has a global fund that can make investments anywhere.  ''We have the technology muscle. Our strength is that as Microsoft, we have relations with several companies, including Fortune 500 companies.  We can thus connect start-ups with customers, apart from helping them go through their business pitch and design,'' he said.

Microsoft runs its Accelerator programme for tech start-ups in Bangalore. It recently announced the opening of applications for a new batch.

The four-month programme, which will start from January 2014 and continue till May, is meant to provide technology entrepreneurs a platform to showcase their ideas before industry veterans, venture capitalists and angel investors.

Apart from access to Microsoft technology and mentors, start-ups will get to go through a rigorous and structured programme, where they can get hands-on expertise in key areas like technology architecture, product roadmap, design, business model development, and related subjects.