Modi Government Launched ONDC As Amazon Alternative — Now The US Giant Is Joining It!

Amazon has announced the addition of its SmartCommerce services and logistics network to Open Network for Digital Commerce (ONDC), which is a government-established non-profit, established by the centre's Department for Promotion of Industry and Internal Trade (DPIIT).

What Happened? The e-commerce platform on Friday stated in a press release that it will join the centre's ONDC platform, and as part of its initial collaboration network.

Amazon’s logistics services include pickup and delivery, while Smart Commerce is a suite of SaaS (software-as-a-service) offerings that can help small businesses build and scale while integrating it with the ONDC network.

"Amazon's vision and commitment for India are closely aligned with ONDC's objectives of digitally enabling small businesses, and providing convenience and choice to customers across the country,” said Manish Tiwary, country manager, of Amazon India’s Consumer Business.

“We are excited about the opportunities to mobilise Amazon's industry-leading infrastructure and technology, including logistics, and small business digitization tools, to help the ONDC accelerate its objectives," Tiwary added.

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“We are happy that Amazon has a definite roadmap to being a part of the ONDC network and is taking its first step in coming in as the logistics partner in the ONDC network which is a globally pioneering idea established with a view to democratise digital commerce in India, and we also hope that the buyer and seller platforms are onboarded as early as possible," stated T Koshy, MD & CEO of ONDC, commenting on Amazon India’s primary integration.

What It Means For You: For those wondering, ONDC is a network that will enable the display of products and services from all participating e-commerce platforms in search results across all apps.

The network is currently in the beta phase and has conducted pilots in select cities.

The central government-backed platform aims to even the playing field for e-commerce giants and offline retailers who have been crying foul at major e-tailers for monopolising online retail.

Additionally, the Modi government says that the platform will also be compliant with the Information Technology Act, 2000 and designed for compliance with the emerging Personal Data Protection Bill.

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