Alibaba Group Holding Ltd (NYSE:BABA) is no stranger to making investment in promising startups in China as well as globally. A ‘Wall Street Journal’ report suggested that Alibaba Group Holding Ltd (NYSE:BABA) has decided to invest in an Israel based startup Visualead. What does this Visualead do? Why is Alibaba Group Holding Ltd (NYSE:BABA) interested in this startup?
Alibaba Group Holding Ltd (NYSE:BABA) said on Tuesday that it will be investing an undisclosed amount in a tech startup Visualead which deals with QR codes. This will be the first investment for Alibaba Group Holding Ltd (NYSE:BABA) in Israel.
Visualead is a promising startup which works on developing Quick Response Codes (QR Codes). These codes can easily be scanned by a smartphone. The article suggested that QR codes is very popular in China and is making its strides into western markets and Japan.
QR codes have multiple applications, which include scanning codes with smartphones for downloading apps, coupon redemption and promotion sign up, etc. These codes can also be linked to a person’s social network account and other can just follow or make contact with the person just by scanning the code.
Usual QR codes in practice are black and white in color and considered to be boring aesthetically and for advertising purposes. Visualead has developed some patented technology which enables color codes and they can embed even the company logos into the codes, thereby enabling easy marketing tool.
“Chinese consumers are definitely more used to scanning QR codes than any other consumers around the world,” Visualead CEO, Nevo Alva was quoted as saying.
Visualead with work with Alibaba Group Holding Ltd (NYSE:BABA) in developing codes for consumers in Tmall and Taobao online shopping platforms. These codes can help the consumer and merchant in many ways.
Chinese companies like Alibaba Group Holding Ltd (NYSE:BABA) has been investing in Israel for the last two years, which looks like a promising place for startups like Visual with promising technologies.
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