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On 21st this month, the US tech giant Microsoft signs a deal with Indian largest e-commerce vendor Flipkart. According to this pact, the Flipkart will now be able to use Microsoft Azure cloud platform for better user handling and data interpretations. Flipkart in a press release says, ““Flipkart plans to leverage artificial intelligence, machine learning and analytics capabilities in Azure, such as Cortana Intelligence Suite and Power BI, to optimize its data for innovative merchandising, advertising, marketing and customer service.”

Microsoft CEO Satya Nadella, is currently visiting India, and here signs the deal with CEO of Flipkart, Binny Bansal in Bengaluru at Microsoft AI event. The two shared a common belief of using Azure as better platform for Flipkart. The deal comes at a time when Flipkart is facing a downside in the business. Flipkart’s valuation stands at $5.54 billion as compared to $9 billion in previous quarter.

Satya Nadella says, “At Microsoft, we aim to empower every Indian and every Indian organization with technology and key to this is forging strategic partnerships with innovative companies like Flipkart”, for the partnership. Microsoft also benefited with the deal in terms of expanding its business base in India. But the real profit lies with Flipkart. They will be able to use Azure for their logistics management, better customer service and better marketing.

“This partnership allows us to leverage our combined strength and knowledge of technology, e-commerce and markets to make online shopping more relevant and enriching for customers,” Bansal said.He continued, Flipkart, in its tenth year of operations, had taken e-commerce to about 50 million customers and the question now was how to take this to 500 million people in the next 10 years.

Although it is unclear at this point of time that whether Microsoft is going to invest in the e-commerce brand or not. This seems to be just a business partnership. On Flipkart, Nadella says, “I have always been an admirer of what Flipkart has done, in not only starting e-commerce, but now in payments and logistics. It is really getting India on the map… I’m pleased to announce that Flipkart has chosen Microsoft Azure as its exclusive public cloud platform”.

Amazon with its Amazon Web Service and Google will be the competitors for the Microsoft in this arena. Google plans to set up data centers in the country in 2017. With huge customer base of Flipkart, the company can pull itself up with the use of Microsoft Azure’s services.This partnership will help Flipkart in expanding globally too as they have a humongous partner to relay on. Moreover, machine learning and AI is the future.

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