San Francisco based mobile payments company Boku is taking a second pass at India, a fast growing cell phone market with growing appetite for e-commerce.
The company has acquired Qubecell, a one year old startup in India for an undisclosed amount. Boku said in a statement that it will help the company to reach roughly 550 million users in India.
The acquisition also makes Boku the largest provider of direct carrier billing in India, and greatly expands Boku’s footprint in Asia and the Middle East.
The carrier billing startup Qubecell works with Indian telecom operators on one side and many Indian merchants on the other.
The US based company is backed by Andreessen Horowitz, New Enterprise Associates, Telefonica, Benchmark, DAG Ventures, Index Ventures & Khosla Ventures. Nearly 20 Qubecell employees will join Boku as part of the transition.
This is Boku’s second attempt to enter the Indian market. In 2009, the company tried launching in India by partnering with Airtel. But it didn’t work out because of high transaction fee and other operational issues (read a detailed analysis here.)
Meanwhile, many Indian companies have launched carrier billing solutions in the market.
At bigMobilityConf, our industry conference in September, Ver Se, the parent company of popular news app NewsHunt, launched iPayy, a carrier billing platform that will allow for billing of virtual goods.
Recommended Read: The bigMobility Trend in India: Stats and Insights You Need to Know