Medianama’s Take:

The core problem Arattai faces is of network-effects. In short, people prefer to use apps that are already used by other people. This is why it is so difficult to build a successful social network from scratch, unless you are a pioneer or have a very strong Unique Selling Point (USP).

Both Arattai and WhatsApp are apps with a singular function: messaging. Users gain little additional utility by having both on their phones, and since WhatsApp has more people, it makes more sense to continue to use it.

However, this does not mean that Arattai will shut down. Zoho is a successful software corporation in its own right and its other profitable ventures might be enough to keep the app alive until it reaches a critical user base.

In fact, Zoho Co-Founder Sridhar Vembu seemed to hint as much in one of his statements, when he said that Arattai would not be possible in a public company with quarter-to-quarter financial pressures.

“Zoho is a kind of an industrial research lab that also makes money to fund itself. We essentially ignore short term profits, as long as we don’t lose money,” he stated, which suggests that Zoho might keep the project alive even if Arattai doesn’t turn profitable immediately.

What’s The News:

Software company Zoho’s homegrown instant messaging app called ‘Arattai’, named after the Tamil word for casual conversations, has exploded into prominence after Union Minister for Electronics and Information Technology (MeitY) Ashwini Vaishnaw, and his Education Ministry counterpart Dharmendra Pradhan, promoted it via posts on X (formerly Twitter).

The app, which is currently available on both Google Play Store and Apple App Store, contains features like Voice over Internet Protocol (VoIP) calling, video calls and the ability to schedule meetings as well as share status updates: similar to other social media platforms.

Arattai quickly became the most popular social networking app on the iOS App Store, even causing some problems for the platform due to the sudden surge of users. The company stated that it was facing an “unexpected load” on its servers, resulting in OTP delays and slower contact syncing.

Vembu has long championed Indian alternatives for popular software products. Quite recently, Vaishnaw announced that he would himself be switching to Zoho’s suite of office software for documents and presentations.


Source link

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We blogs.grocliq.com want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

Website Upgradation is going on for any glitch kindly connect at [email protected]

 

 

Categorized in:

Blog,

Last Update: September 30, 2025