Meta has appointed Indian fintech founder Kunal Shah as the new head of WhatsApp, as the US tech giant seeks ways to monetise the messaging app’s massive user following.
Made Monday night, the announcement was accompanied by the news that Meta would also lead a US$900 million funding round in Shah’s consumer finance firm CRED.
“Kunal built CRED into one of India’s most important technology companies,” said Meta chief Mark Zuckerberg in a statement.
“He brings the kind of builder mentality and global perspective that will serve him well in running the world’s biggest messaging app,” he added.
Kunal Shah, an established serial entrepreneur and an influential figure in India’s fintech scene, launched CRED in 2018 after selling an earlier payments startup to Indian e-commerce giant Snapdeal for an estimated amount of US$400 million.
Shah also stands as one of India’s most prominent angel investors, according to data tracker Tracxn, with the local financial press often reporting how Shah agrees to seed funding pitches within minutes of hearing them.
However, in recent years, Shah has focused on building CRED, which got its start by offering rewards to customers for timely credit payments.
Since then, the company has rapidly expanded into wealth management, insurance and lending services to its 17 million users.
This experience is likely to be of great benefit to WhatsApp as it seeks new revenue streams that go beyond the core advertising business of Meta, which also runs Facebook and Instagram.
While India is WhatsApp’s largest market, that consist of half a billion users according to 2021 government figures, analysts note that it has largely missed the opportunity to build an equally popular payments service.
Back in May, the messaging app offered businesses in India the ability to use artificial intelligence for services, including responding to customers at all hours or booking appointments.
Shah recognised the scope for future advancement, noting in a statement that the gap between “WhatsApp today and its full potential is massive.”
Source: Malay Mail
