Mumbai: Sequoia Capital India Advisors Pvt Ltd and IDG Ventures India Advisors Pvt Ltd have invested $5 million each in Sourcebits Inc, a third-party mobile and tablet applications developer. Sourcebits will use the money to set up its US development centre and to expand, company officials told reporters on Tuesday.
Sequoia and IDG will get a board seat each in the company and will be invested for 5-7 years, the company said. The company refused to divulge the stake it sold to the two investors. “We expect the mobile app business to be (worth) $35 billion by 2014 and hence the phenomenal growth will help Sourcebits develop into a bigger player in the market,” said Manik Arora, founder and managing director of IDG Ventures India.
With 300 employees in India, Europe, Russia and the US, Sourcebits has developed downloadable applications for the iPhone, iPad, Blackberry and Android-based phones.
“For the year ended 31 December 2010, the company had a revenue of $7 million. We are making good profits and growing almost 100% every year,” said Rohit Singal, founder and managing director of Sourcebits. Started in 2006, Sourcebits has around 300 applications to its credit with 20 of them in the top 10 most downloaded applications in app stores. Some of its most downloaded applications are Robokill, Knocking Live, Daily Needs, Night Stand, Skyfire and Beast Farmer.