Good morning. Earlybird here with your share of hand-crafted business news that’s a breeze to binge. Like that “one last” potato chip.

In this edition:

• 📜 Replacing rusty old IT laws

• ⚡️India's new semiconductor friendship with the US

• ⚠️ Did Volvo just delete their safety software?

MARKETS

*Stock data as of market close. Source.

• Markets: Indian markets experienced a major sell-off today, with Sensex plunging 671 points and Nifty struggling at around 17,400. As the market extends its losses, investors are keeping a close eye on further developments and announcements by the government and RBI to help stabilize the market.

REGULATION

India’s IT laws poised for massive update

📜 A new draft law intended to modernize the nation's digital laws is being proposed in India to replace the country's two-decade-old IT law. The decision was made as India battles ongoing cybersecurity threats, fake news, and data privacy issues.

🔀 What they want to swap out. The proposed legislation seeks to replace the Information Technology Act, 2000, with the aim of creating a more comprehensive framework for regulating India's digital ecosystem. It covers a range of areas, including data protection, cybercrime, e-commerce, and social media.

Addressing the sore points

The proposed legislation aims to:

• Strengthen data protection and privacy, such as requiring companies to obtain explicit user consent before collecting, processing, or storing personal data

• Establish a Data Protection Authority to oversee compliance with the law and investigate violations.

• Promote e-commerce and digital payments by providing a clear legal framework for online transactions.

TECH

India and the US pen new semiconductor friendship

⚡️ India and the US have signed a memorandum of understanding (MOU) aimed at boosting innovation in the semiconductor supply chain.

The MOU, which was signed during a visit to India by US Secretary of Commerce Gina Raimondo, seeks to deepen cooperation between the two countries in the field of semiconductor manufacturing and research.

Collaborating on Semiconductor Innovation

• Under the MOU, India and the US will collaborate on several initiatives, including research and development programs, workforce training, and the development of new technologies.

• It also aspires to establish a new framework between the two governments on semiconductor supply chain resiliency and diversification in view of the US's CHIPS and Science Act and India's Semiconductor Mission.

In summary, the MOU represents a positive step forward for the global semiconductor industry, which is seeking to drive innovation and growth in the face of increasing competition and technological change.

LOGISTICS

FedEx chooses India as its first ACC site

📦️FedEx is set to open its first Advanced Capability Community (ACC) in Hyderabad, India later this year. The move is part of the company's multi-year plan to enhance its global workforce and improve efficiency. Here’s the quick take:

• The ACC in Hyderabad will be staffed by full-time FedEx team members across multi-functional areas.

• Future ACC locations will be selected based on business needs and access to highly skilled talent pools.

• ACC staff will provide shared services to support the technological and digital requirements of the entire FedEx enterprise.

❓️ Why India. Hyderabad, the capital city of Telangana, has been focusing on its engineering and digital enterprise talent pool for quite some time. Zooming out, India’s overall focus on providing world-class infra and economy-friendly tech, made it the ideal choice for FedEx's first ACC.

INDIA EDITION: WHAT ELSE IS ON THE BIRDWATCH

• 📎 Gallagher to acquire WTW India. Gallagher, the global insurance brokerage and risk management firm, has agreed to acquire the reinsurance business of Willis Towers Watson in India.

• 💰️ Prosus is cashing out on OLX Autos India. Dutch tech conglomerate Prosus is reportedly in talks to sell its online auto classifieds business, OLX Autos, in India and other markets.

• 💸 Tata Tech spreads its wings with new IPO filing. Tata Technologies, a subsidiary of Tata Motors, has filed draft papers with SEBI for an initial public offering (IPO). Meanwhile Tata Motors will offload some of its holdings in the digital engineering firm.

FUNDING DEALS

Catch up on the Indian funding flows from the past 24hrs:

• Bira91, the popular Indian craft beer brand, just got a major boost with a $10M investment from Japan's MUFG Bank

• TeamNest, a local SaaS startup, just transferred a 20% stake in its business to Indian venture capital firm InCred Capital through a recent investment.

• GrayQuest, an Indian fintech startup, just hit a major milestone, raising $7M in a Series A equity funding round.

• Luru, a Bangalore-based fintech startup, has kicked off its funding journey with a sweet $1.4M seed round, with investors India Quotient and Gemba Capital playing the role of cheerleaders.

WORLD

Headline Explorer

🚗 Volvo's deletes key security feats. Volvo, the car company known for its ultra safe safety features, has hit a speed bump due to the semiconductor shortage affecting the automotive industry . The Swedish automaker has been forced to temporarily remove key safety technology from its XC40 and XC60 models including certain hazard warnings and emergency brake assistance.

🌿 EU eases green tech subsidy rules. The European Union (EU) has relaxed its subsidy rules for green technologies. The new regulations will be in effect until the end of 2025 and will permit members to match subsidies offered in other nations.

📉 Sweaty collars at SVB amid 60% stock drop. With a 60% decline in the value of its stock, Silicon Valley Bank is going through a rough patch as customers look for assurances that their assets are secure. Investors did not respond favorably to the bank's $1.75 billion capital issue, which contributed to the share price collapse that caused the banking industry as a whole to lose $80 billion in value.

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