Alibaba is one of the biggest B2B businesses in the world. A few months and years ago, it was in competition with the likes of BestBuy, Amazon, and Wal-Mart etc. but if we consider the current progress, Alibaba has surpassed all its peers and competitors.
In China, QR Codes are quite significant. In different parts of the region, this technology could not live up to the expectations. Right after the launch of QR Codes, they were considered as dead because they were not utilized up to the level of their credibility. But China holds a soft corner for this technology and almost every other Chinese is spotted using QR code technology.
Hence in order to make the most of this opportunity, Alibaba invested in Visualead, the giant in QR Codes technology which is an Israeli startup. The company began its operations in 2012 where it covered a long journey to stand where it is now, the giant in QR Codes technology. Visualead specializes in generating QR Codes which are available in images, videos, and colors embedded in a matrix barcode technology.
It is believed that more than 500,000 businesses including big names like Intel, HP and EBay etc. uses that platform of Visualead. The company says “While the value of the fundraising effort remains under wraps, Alibaba Group has said that it wants to use Visualead’s technology and patents across its ecosystem.”
Both companies have not yet disclosed any exact amount of the deal, however it is the very first investment of Alibaba in the Israeli startup. The company has plans to incorporate this rising technology within its products and properties which will vary from e-commerce sites and apps to a cloud calculating platform, then even include a movie manufacture workshop. On the other hand, Visualead will be using this funded capital in order to enhance this offline to online technology further for its clients and Alibaba.
This deal also sees Visualead teaming up with Mashangtao which is Alibaba’s own scan able code reader. The director of Mashangtao says “We believe that Visualead’s leading Visual QR Code technology will complement our mobile marketing initiatives and enhance our ability to take advantage of the booming O2O opportunities in China.”
Hence in a nutshell, the investment of Alibaba in this startup will be beneficial in the short run as well as the long run.