E-commerce giant Flipkart has announced the closure of its subsidiary, ANS Commerce, leading to the layoff of its entire workforce. ANS Commerce, founded in 2017, specialized in providing end-to-end e-commerce support, including marketing tools, warehousing, and logistics for online sellers. The company was acquired by Flipkart in 2022, but after a strategic review, Flipkart has decided to wind down its operations.
Closure of ANS Commerce and Employee Impact
Confirming the development, Flipkart stated that it remains committed to ensuring a smooth transition for all stakeholders, including employees and customers. The company has promised to minimize the impact on employees by offering internal opportunities at Flipkart, outplacement services, and severance packages. The exact number of affected employees remains unclear, but ANS Commerce had approximately 600 employees as of FY2022.
Flipkart Ventures Invests in Five Startups
Amidst this restructuring, Flipkart Ventures has announced investments in five startups as part of the third cohort of its Flipkart Leap Ahead (FLA) accelerator program. The selected startups are Xportel, Factors.ai, Expertia.ai, Bharat Krushi Seva, and Visa2Fly.
The FLA program focuses on supporting early-stage startups with technological synergies in AI, deep tech, and logistics. Participants will receive equity investments of up to USD 500,000 and mentorship from Flipkart leaders in business, technology, and finance. The program will culminate in a demo day, providing startups a platform to showcase their progress and attract further investments.
The Selected Startups and Their Focus Areas
· Xportel – A cross-border e-commerce logistics enabler, facilitating international deliveries to over 150 countries.
· Factors.ai – An AI-powered marketing intelligence platform offering account-based marketing (ABM) tools.
· Expertia.ai – An AI-driven recruitment platform streamlining talent sourcing, assessment, and hiring.
· Bharat Krushi Seva – An Agritech startup focused on building a traceable and ethical end-to-end value chain for fruits.
· Visa2Fly – A travel tech platform simplifying visa applications with end-to-end support.
Since its inception, Flipkart Ventures has invested in over 20 startups across deep tech, fintech, health tech, generative AI, and sustainability, reinforcing its commitment to fostering innovation in the startup ecosystem.
While Flipkart’s decision to shut down ANS Commerce marks a significant restructuring move, the company continues to focus on strengthening its startup investments through Flipkart Ventures. As Flipkart navigates these changes, it remains dedicated to supporting its employees during the transition while driving technological advancements through its investment initiatives.
(With inputs from agencies)
