Palmonas' offline push; IndiaAI's GPU crunch

Palmonas, a demi-fine jewellery brand, is focusing on expanding its offline store network to compete with both established jewellers and new entrants in the crowded branded jewellery market. By leveraging its expanding offline store network and high repeat-purchase rates, Palmonas aims to lower marketing costs as a percentage of revenue by gaining more repeat customers organically.

The brand currently operates 105 stores and expects to end the fiscal year with about 160 stores, with repeat purchase rates at 46% in offline stores compared to 32% online. Additionally, IndiaAI's Mission is facing challenges due to severe supply constraints and higher costs for critical compute components, particularly GPUs, which have more than doubled in many cases since the program's launch in March 2024.

In response, the government is recalibrating the IndiaAI Mission by issuing fresh bids, pressuring companies to meet commitments, and planning to own some compute directly through the Centre for Development of Advanced Computing (C-DAC).

Brief written by urgent.news from Economic Times Tech's own syndicated text. Machine-written — may contain errors; check the original before relying on it.