WhatsApp To Show Ads, Fake Jio Eat, and Zoomcar’s Data Hacked

Ever since its launch in 2009, WhatsApp has stayed away from ads. Even after it introduced a small subscription fee of $1 per year, the founders stayed firm on keeping ads out. In 2016, WhatsApp dropped that fee and became completely free, but still kept ads away. Now, that phase is ending, and WhatsApp is bringing ads to the ‘Updates’ tab for users in India. With more than 850 million users in India, WhatsApp is how most people talk and shop in India.

When Facebook bought WhatsApp in 2014 for $19 billion, the original founders were very clear. No ads, no games, and no gimmicks. But they left the company soon after. Since then, Meta has quietly been preparing WhatsApp for monetization - business accounts, API tools, payment systems, and now ads.

So, why is Meta doing this now? Because there’s pressure. While Facebook and Instagram make most of Meta’s money, WhatsApp is still far behind. With so many users in India, Meta wants WhatsApp to start earning.

There’s also been a leadership change. Arun Srinivas, who currently serves as the Director and Head of Ads Business in India, was recently appointed as Meta’s India Head. Since joining in 2020, he has led Meta’s work with India’s biggest advertisers and agencies, focusing on key revenue priorities. His arrival aligns with this push to monetize WhatsApp. With deep experience in advertising and a strong understanding of the local market, he’s well placed to drive this next phase of growth.

Meta is being cautious. Ads are not showing up in chats. They are limited to the Updates tab, where people view statuses and follow channels. This space is less personal and more public, making it a safer place to test ads.

Will users accept this change? Some won’t, and many will find it annoying. For years, WhatsApp was private with a clean, easy to use interface. Now, ads may make it feel less private and more cluttered. Having said that, most people won’t leave, because there’s no real alternative with the same reach (Telegram, the distant second messaging app in India, has one-tenth of Whatsapp’s users).

At the same time, this is a big opportunity for small businesses. Many already use WhatsApp to sell products, take orders, and talk to customers. We know of many businesses that don't have a website but have a store on WhatsApp. With ads, they can now reach new customers directly. For many local businesses, WhatsApp could become their main marketing tool.

Meta wants to turn WhatsApp into a complete shopping and service platform, like WeChat in China — Discover products, chat with sellers, make payments, all in one place.

Let’s look at potential revenue. WhatsApp Business API already brings in over $1.5 billion globally, and India is a large part of that. If WhatsApp can earn even $1 per user in India per year through ads, that’s $850 million annually. With more features and deeper integration, this number could reach $3-5 billion a year in the next few years. For comparison, Facebook's global ARPU is much higher, around $12.36 as of Q1 2025.

Facebook started ad-free, then monetized. Instagram did the same. WeChat in China went from messaging to becoming a super-app. WhatsApp may be headed the same way.

Of course, there are concerns. Privacy is one. Even if chats stay encrypted, Meta will still use other data such as your city, language, and followed channels to show you ads. And in a country where data protection laws are still evolving, this can raise trust issues.

But overall, this was bound to happen. You don’t run the most popular app in the world’s biggest market without trying to earn from it.

From our side, we think the key lies in execution — keep the ads relevant, non-intrusive, and useful, give users more control, and support small businesses instead of flooding the app with big brand ads.

Let’s go through what else is happening in Indian startup world - Grab your simmering cup of StartupChai.in and unwind with our hand-brewed memes.

“Gali Gali Chor Hai”: Fraudsters Using Reliance Brand Name To Dupe Customers

Scammers are now serving fraud with a side of fries - under the fake brand Jio Eat. The phony site tempts users with ₹500 meals for just ₹99, using Reliance logos to look legit.

But behind the offer lies an OTP trap, and social media’s already buzzing with regret posts.

Read more here

“Identity Theft Isn’t A Joke Jim”: Hackers Access Data Of 8.4 Mn Zoomcar Users

Zoomcar just hit a major speed bump - hackers breached data of 8.4 million users, exposing names, numbers, emails, even car details.

The timing couldn’t be worse, with the company already facing an uncertain future. For now, it’s not just road trips Zoomcar users need to worry about - it’s identity theft too.

Read more here

“Ab Bas Yahi Reh Gaya Tha”: Now, WhatsApp To Show Ads

WhatsApp is finally letting ads in - but only in the Updates tab, not your private chats. With 1.5 billion daily eyeballs on that section, Meta smells major money.

So while your auntie’s good morning texts stay sacred, the Status tab’s about to get a commercial makeover.

Read more here

“Aaiye Aapka Intezaar Tha”: Honasa Appoints Former Flipkart Executive Yatish Bhargava As CBO

Mamaearth’s parent Honasa Consumer just roped in former Flipkart and HUL executive Yatish Bhargava as its new Chief Business Officer.

With 17+ years in the consumer biz, Bhargava isn’t new to scaling brands Indians shop from every day. Looks like Honasa’s cooking up a fresh growth strategy - and Bhargava’s the one stirring the pot.

Read more here

“Kuchh Toh Gadbad Hai”: ShareChat & Moj CBO Gaurav Jain Resigns

After three intense years at the helm, ShareChat and Moj’s CBO Gaurav Jain is signing off. In a candid LinkedIn post, he called the ride “rewarding and demanding” - think big wins, tough calls, and plenty of user curveballs.

Jain’s next move is still under wraps, but sounds like another challenge is already knocking.

Read more here

1. Mumbai-based Saswat Finance has raised $2.6 Mn in a Pre-Series A round to boost financial access for micro enterprises. The round was led by Ankur Capital, with backing from Incubate Fund Asia.
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2. Razorpay has pumped $30 Mn into UPI startup POP, grabbing a majority stake in the process. The move signals Razorpay’s push beyond payments into loyalty, engagement, and commerce enablement.
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3. Dugar Finance has raised $3 Mn in debt from Symbiotics Investments to power EV and rooftop solar financing. The funding targets MSMEs, households, and housing societies in India’s tier-2 and tier-3 cities.
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4. Observability platform Coralogix has raised $115 Mn in a Series E round, hitting a unicorn valuation of over $1 Bn. The round was led by NewView Capital with backing from CPPIB and NextEquity.
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5. Quadria Group has taken full control of HealthQuad and launched a $300 Mn Fund III to deepen its healthcare bets. The move ends its eight-year partnership with KOIS, marking a strategic consolidation.
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