Handpicked updates about India’s business and the business of India
Tanmay Bhat is officially India’s richest YouTuber with a net worth of ₹665 crore, beating CarryMinati, Samay Raina, and Bhuvan Bam to the spot. Hard to believe it’s been a decade since the AIB roast video. Probably deserves a repeat watch-party.
Now, let’s get into the Dispatch! 🚀
Today’s reading time is 6 mins.
Markets 🔔🐂🐻
As of the Indian market closed on Oct 6th
The Indian stock market rallied for a third straight session on Monday, with the Sensex and Nifty 50 ending with healthy gains. The surge was led by key banking and IT heavyweights like HDFC Bank and TCS.
Business & Corporate Affairs
One Year After Ratan Tata: A Power Puzzle At the House of Tatas
Image credits: Mint
Leadership Rift At Tata Trusts: As the first death anniversary of Ratan Tata approaches on October 9, one of India’s most respected conglomerates is witnessing internal turbulence. Tata Trusts, which control about 66% of Tata Sons, the holding company of the $180-billion Tata Group, are mired in disagreements over governance, transparency, and control. Tensions surfaced after former Defence Secretary Vijay Singh stepped down as a Tata Sons director on September 11. His reappointment, required under a rule mandating annual renewal for directors above 75, was opposed by four trustees. This is not the first time Tata Sons has been rocked by boardroom conflict. The latest friction echoes the Ratan Tata–Cyrus Mistry feud, which dominated corporate India for six years.
Listing Dilemma And Government Watch: Adding to the current strain is the missed September 30, 2025 deadline for Tata Sons’ public listing, mandated under the RBI’s upper-layer NBFC framework. Amid growing unease, two senior cabinet ministers will meet this week to discuss ways to contain internal rifts and chart the listing’s future course.
Deeper Concerns And Why It Matters: Some insiders warn the infighting could delay critical board appointments and major group decisions. For the government and markets, the stakes are high. Tata Sons anchors India’s largest conglomerate employing millions and influencing investor sentiment. Prolonged instability at the top could ripple across the economy.
Economy & Business
MSMEs Battle ₹28,000-Crore Payment Delays Despite New ODR Push
Image credits: IBEF
The Squeeze: For India’s MSMEs, cash flow isn’t just profit, it’s survival. As of now, delayed payments worth nearly ₹28,000 crore remain stuck with debtors, including large corporates and government entities, choking the sector’s liquidity and growth.
A Chronic Problem That Won’t Go Away: MSMEs have long complained that payments for goods and services often arrive months after delivery - well beyond the 45-day limit mandated under the MSME Development Act, 2006. A Reserve Bank of India study found it takes an average of 90 days for MSMEs to collect dues. For small firms that rely on quick turnover to pay suppliers, workers, and lenders, such delays can be devastating. India has over 66 million registered MSMEs, contributing roughly one-third of the country’s gross value added (GVA) and 45% of exports, while employing about 260 million people. Prolonged payment delays ripple through supply chains, threatening jobs and local economies.
From Facilitation Councils To Digital Dispute Portals: To tackle delayed payments, the government set up MSE Facilitation Councils under the 2006 law. Yet, with over 2.5 lakh cases filed, backlogs quickly grew, prompting fresh measures. The MSME Samadhaan portal, launched in 2017, was the first step toward transparency, allowing firms to track their cases. But the backlog persisted. In response, the government recently launched an Online Dispute Resolution (ODR) portal, in June, to settle payment disputes digitally - faster, cheaper, and without involving courts.
More Delays, More Damage: Despite the new measures, payment discipline remains weak. In FY25 alone, MSMEs filed over 47,000 applications on the Samadhaan portal, claiming dues worth more than ₹8,000 crore, the highest since the portal’s launch.
Why It Matters: Legal recourse remains slow and costly, and many small entrepreneurs lack the time or resources to fight prolonged cases. For a sector driving jobs and exports, enforcing payment discipline is essential for India’s growth.
Business India: Dhanda Hai Yeh!
Image credits: Outlook Business
Big Tech Data Center Expansion Hits India Trade Snags: Major U.S. tech firms are delaying India data center projects amid rising trade tensions. Recent U.S. tariffs and higher H-1B visa fees have created investment uncertainty, leading companies like Amazon, Google, and Microsoft to rethink expansion plans despite India’s growing demand for digital infrastructure.
Russia-Pakistan JF-17 Engine Deal: Russia is reportedly set to supply RD-93MA engines to Pakistan for JF-17 fighter jets, raising concerns in India. While unconfirmed, opposition parties have criticized Moscow, questioning its defense ties with New Delhi. Russian experts suggest the deal could benefit India, as Pakistan remains dependent on Russian engines, making the jets predictable. Moscow has assured India the deal is purely commercial, with no technology transfer, and India continues to operate advanced RD-33 engines under license.
Eli Lilly's $1 Billion Investment: Eli Lilly has announced plans to invest over $1 billion in India over the coming years to enhance its manufacturing capabilities through partnerships with local drugmakers. This strategic move aims to increase the availability of key medications, including those for obesity, diabetes, Alzheimer's, cancer, and autoimmune conditions.
Boost For Pharma & MedTech Innovation: The Indian government has launched a ₹5,000 crore scheme to boost innovation in pharma and medtech. It targets new medicines, complex generics, biosimilars, and advanced medical devices like AI diagnostics and robotic surgery tools.
Ola Electric Gets Nod for Rare-Earth-Free Motor: Ola Electric becomes the first Indian EV maker to earn government certification for its in-house rare-earth-free ferrite motor. The move reduces reliance on imported materials and paves the way for more sustainable, cost-effective EVs in India.
India Plans Climate-Linked Insurance: India is exploring a nationwide climate-linked insurance program using a parametric model that triggers payouts when weather thresholds, like rainfall or windspeed, are crossed. The scheme aims to speed up compensation for extreme events, easing financial strain on citizens and the government, and could make India a leader in climate-focused insurance solutions.
China Urges India To Rejoin RCEP: Chinese economist Liqing Zhang suggested that India could boost trade with China by rejoining the RCEP, lowering tariffs, and enhancing competitiveness. He noted that India’s exports to China fell 14.4% in FY25 while imports rose, and stressed that resolving border issues could further improve trade and investment ties.
World 🌏
Are We In An AI Bubble?
Image credits: Paddle
Build Or Bust: The rapid rise of artificial intelligence (AI) has ignited heated discussions about whether the current AI craze is a bubble waiting to pop or a genuine revolution in the making. We present the many directions this debate has taken, spotlighting concerns, optimism, and the middle ground.
Is AI a Speculative Bubble? Some experts see alarming parallels with past tech bubbles, warning that the AI frenzy may be unsustainable. Companies like OpenAI and Meta are spending billions on AI infrastructure without proven profitability. OpenAI’s $500B Stargate plan and Meta’s $26B data center are fueling concern as debt mounts. Sky-high valuations - Nvidia’s P/S over 40, Palantir near 69 - and cheaper Chinese AI models raise fears of a potential market correction.
AI Is Transforming Industries, Not Just Hype: On the other side, many AI enthusiasts stress the long-term promise of the technology. AI is boosting productivity - GitHub Copilot raised Commonwealth Bank’s engineering output 30%, while OpenAI’s Claude automates tasks. Tools like GDPval track real-world performance, and investors are seeing billion-dollar returns. OpenAI envisions AI as “Ph.D.-level assistants” with premium pricing potential.
A Cautious Middle Ground - Balancing Risk And Potential: Some voices call for a more balanced perspective. AI is growing fast, but the sector remains in a costly “build-out” phase with unclear short-term profits. Historical parallels, such as the dot-com bubble, remind us of the dangers of hype-driven investments. Experts suggest that sustainable growth and realistic expectations are essential to avoid a repeat of past tech collapses - pacing investment while focusing on genuine value creation could be the way forward.
Wrapping Up: The AI debate isn’t black-and-white. There are clear risks of overvaluation and debt-fueled spending, but the potential for transformative impact is also enormous. Sustaining this ecosystem will require both caution and foresight, balancing the excitement of innovation with a keen eye on sustainability.
DuniyaDIARY 🌏📒
Image credits: FT
OpenAI Expands AI Chip Supply With AMD: OpenAI is securing 6 gigawatts of computing power from AMD to diversify its AI chip supply, supplementing its $100 billion deal with Nvidia. The move hedges against supply constraints for projects like ChatGPT and Sora 2, and boosted AMD shares 36% while Nvidia dipped 2%. OpenAI also holds a 10% stake in AMD, aligning milestones with technological and share-price targets amid rising AI market demand.
Pakistan Courts U.S. For Pasni Port, Rare Earth Exports: Pakistan is pitching Pasni port to U.S. investors as a hub for exporting critical minerals, including rare earths, supported by a proposed railway and processing facilities. A MoU with U.S. Strategic Metals aims to facilitate exports and exploration. While presented as a commercial initiative, the plan could complicate ties with China and India, highlighting Pakistan’s push to diversify international partnerships amid sensitive geopolitics.
China’s Secret Oil Payments To Iran: China is bypassing U.S. sanctions on Iran by exchanging oil for infrastructure projects, using a covert financial entity, Chuxin, and state insurer Sinosure to manage payments. This arrangement avoids the global banking system, allowing Iran to secure oil revenue while receiving essential infrastructure support, often routed through countries like the UAE and Hong Kong.
Nobel Prize For Immune System Breakthroughs: The 2025 Nobel Prize in Medicine was given to Mary Brunkow, Fred Ramsdell, and Shimon Sakaguchi for discoveries on regulatory T cells, which prevent the immune system from attacking the body. Their work, including the Foxp3 gene link to autoimmune disorders, opens new avenues for treating autoimmune diseases, cancer, and transplant rejection.
Apple Eyes John Ternus As Tim Cook’s Successor: Apple is reportedly considering John Ternus, Senior VP of Hardware Engineering, to succeed Tim Cook as CEO. With Cook nearing 65, Ternus’s long tenure and role in developing iconic products like the iPhone, iPad, and Mac make him a strong candidate to lead Apple’s next chapter, ensuring continuity and innovation.
Paramount Acquires The Free Press: Paramount Skydance has bought Bari Weiss’s media platform, The Free Press, for $150 million. Weiss will become CBS News editor-in-chief while continuing to lead her platform, aiming to modernize CBS’s editorial approach and attract a centrist audience.
France In Political Turmoil After PM Resigns: France’s political crisis intensified as PM Sébastien Lecornu resigned shortly after forming his cabinet, the fifth change since Macron lost his majority in 2022. Opposition rejection of pension and austerity reforms leaves Macron facing tough choices, risking budget delays, higher taxes, and market instability ahead of 2027 elections.
Aur Batao 📰
Bihar Assembly Elections 2025: The 2025 Bihar Assembly elections are scheduled for November 6 and 11, with results on November 14. The 243-member assembly sees 74.2 million eligible voters, including 1.4 million first-timers. Key contenders include the ruling NDA, opposition Mahagathbandhan, and Prashant Kishor’s Jan Suraaj Party.
Poultry India Expo 2025 Returns To Hyderabad: The 17th Poultry India Expo, South Asia’s largest, will be held from November 25–28 at Hyderabad’s HITEX Centre, featuring 500+ exhibitors from 50 countries. The event will highlight innovations in breeding, automation, feed, housing, and veterinary solutions, along with seminars on sustainable practices and career development in poultry farming.
Future Jobs Will Value Skills Over Degrees: LinkedIn CEO Ryan Roslansky highlighted that employers are increasingly valuing adaptability, AI literacy, and practical skills over traditional degrees. The focus is shifting toward continuous learning, emotional intelligence, and a growth mindset in the evolving job market.
Nakamura’s King Toss Sparks Chess Debate: During the 'Checkmate: USA vs India' exhibition, Hikaru Nakamura threw D. Gukesh’s king into the crowd after winning, stirring criticism from chess figures like Vladimir Kramnik. Nakamura explained the act was pre-planned for theatrical effect, not intended as disrespect.
