Pillow, a sleep-tracking app supported by Accel and Elevation Capital, has stopped its services in India due to “regulatory challenges.”
Launched in 2015, Pillow had 1 million users in India, offering sleep pattern tracking, alarms, and soothing sounds.
Pillow expressed sadness about discontinuing its services in India, stating efforts to address regulatory challenges with the government were unsuccessful.
However, the app will continue operating in countries like the United States, the United Kingdom, and Australia.
Pillow’s decision negatively impacts the Indian startup ecosystem, as it was one of the popular sleep-tracking apps in the country.
Regulatory challenges aren’t limited to India, as governments worldwide tighten data privacy regulations, hindering startups that handle personal data.
Pillow’s future remains uncertain, though they plan to explore options for re-entering the Indian market. However, resuming services may prove difficult.
Pillow’s move highlights the challenges startups face in an ever-evolving regulatory landscape, emphasizing the risks even well-funded startups encounter in India.
For startups eyeing India, understanding and considering the regulatory challenges and data privacy laws is crucial.
Users of Pillow should note that the app is no longer available in India. While functional in other countries, some features may be affected.
Additional details:
- Pillow was founded in 2015 by Abhishek Agarwal and Akshay Nain.
- The company raised $12 million in funding from investors including Accel, Elevation Capital, and Sequoia Capital India.
- Pillow had over 1 million users in India.
- The company cited “regulatory challenges” as the reason for halting its services in India.
- Pillow said that it would continue to operate in other countries, including the United States, the United Kingdom, and Australia.
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