Flipkart Pulls Plug on ANS Commerce, Staff Face Layoffs

Flipkart has shut down its e-commerce enabler ANS Commerce and let go of the entire staff, cutting loose a subsidiary acquired just three years ago.

ANS Commerce, bought by Flipkart in 2022, provided the back-end muscle for brands wanting to sell online – handling everything from digital marketing to warehousing. These included comprehensive e-commerce infrastructure services, including marketing tools, warehousing solutions, and online selling platforms for brands looking to establish digital retail channels without building their infrastructure.

"We've made the tough call to wind down ANS Commerce operations," Flipkart confirmed in a statement. "We're working to make this transition as smooth as possible for everyone involved."

The Walmart-owned marketplace says it's offering affected employees three options: jobs elsewhere within Flipkart, help finding new positions outside the company, or severance packages. While Flipkart hasn't revealed exactly how many workers lost their jobs, ANS Commerce reportedly had about 600 employees when last year ended.

The enabler was founded in 2017 and had built a solid reputation for helping traditional retailers navigate the complicated world of e-commerce before Flipkart bought it. This shutdown highlights the brutal consolidation in India's e-commerce services sector, where the big marketplace players increasingly bring specialist functions in-house rather than maintaining separate business units.

Flipkart continues reshuffling operations as competition heats up from Amazon and fast-delivery startups gaining ground in India's crowded online retail market.