QUBO, A HERO GROUP VENTURE, BANKS ON INDIGENOUS TECHNOLOGY TO BRING SMART DEVICES INTO EVERY INDIAN HOUSEHOLD

Picture a scenario where someone rings your doorbell, and their image is instantly captured by a camera that you can access via your smartphone. Now, consider being involved in a car accident; you can rely on the footage from your car's dash camera to assist with insurance claims. What if you could control both of these devices seamlessly through a single smartphone app? This is precisely the vision that Qubo aims to bring to life – a vision of smarter, safer, and interconnected smart home appliances.

Qubo, headquartered in Gurugram, was launched in 2018 as a venture of Hero Electronix, the consumer technology division of the renowned Hero Group, a giant in the automobile industry. Qubo's mission is clear: to provide Indian households with smart home devices that combine advanced security features with the modern aesthetics of a connected home. With a dedicated team of over 100 professionals, Qubo offers a diverse range of products, including doorbells, indoor cameras, smoke sensors, and car dash cameras, amounting to over 30 offerings. According to Nikhil Rajpal, the CEO of Hero Electronix, Qubo stands as the largest smart home and devices company in India.

Drawing on his consulting background with Everest Group and EY-Parthenon, Rajpal emphasizes a key differentiator of Qubo's products – they are all interconnected, allowing users to control them remotely via a single smartphone app. While many Indian homes are designed with security in mind, the rising incidents of violence and illicit activities have underscored the need for enhanced security solutions.

In the ever-expanding market of smart home appliances, Qubo faces competition from global tech giants such as Google, Apple, and Philips, as well as Indian brands like Wipro and Zebronics. However, Rajpal firmly believes that Qubo's unique strength lies in the seamless integration of its diverse products within a unified smartphone app. This integration not only enhances user convenience but also encourages customers to explore and adopt additional Qubo products.

The journey into smart home devices wasn't without its challenges. Hero Electronix initially faced skepticism about the feasibility of manufacturing hardware in India, given the nation's reliance on imports for critical components like semiconductors. Qubo's first product, a smart camera integrated with Alexa and a home hub, faced challenges despite three years of research. Rajpal underscores the importance of fortifying the technology behind these devices to ensure foolproof reliability.

Today, Qubo takes control of its components, sourced globally, and oversees production through three facilities strategically located in Bengaluru, Noida, and Tirupati. To guarantee end-to-end data security, the company develops all of its technology in-house, including software, apps, and cloud infrastructure.

Qubo offers a range of home security devices with prices starting at Rs 2,500. The company generates 65% of its revenue through online channels, including leading marketplaces such as Amazon and Flipkart, as well as its website. Additionally, Qubo's presence in over 1,500 offline convenience and hardware stores is pivotal in catering to customers who prefer a hands-on shopping experience.

With a monthly revenue of Rs 10 crore and an annual revenue that has tripled over the past two years, Qubo is on an impressive growth trajectory. The company typically invests 18-24 months in researching and developing new devices tailored to the Indian market, with approximately 30 such devices currently in the pipeline.

Hero Electronix has made a substantial investment of around Rs 200 crore in Qubo. The company aims to achieve an annual run rate of Rs 200 crore by the end of the year. This significant milestone could pave the way for Qubo to attract new investors and secure fresh funding for its future expansion plans.