Meet businessman once linked to Aishwarya Rai, sold his start-up to Microsoft for USD 400 million

Sabeer Bhatia, an Indian-born entrepreneur, made a significant impact in the tech world with the invention of Hotmail, one of the earliest web-based email services. Alongside his business partner Jack Smith, Bhatia co-created Hotmail in 1996, a service that forever changed the way people accessed and sent emails.

Creation of Hotmail
Before Hotmail, email services were tied to specific devices, meaning users could only access their inboxes from the computer where the account was registered. Hotmail revolutionized this by allowing people to check their emails from any device with an internet connection. Launched on July 4, 1996, it gave users unprecedented freedom and flexibility in managing their communication. The service quickly gained popularity, attracting millions of users around the world.

Bhatia and Smith were able to bring their vision to life with the help of venture capital funding from Draper Fisher Jurvetson, a firm that supported their innovative idea. By December 1997, just 18 months after its launch, Hotmail had approximately 8.5 million users globally.

Microsoft acquires Hotmail
Hotmail’s rapid growth caught the attention of Microsoft, a tech giant that saw the platform’s potential. Initially, Microsoft offered to buy Hotmail for $140 million. However, after months of negotiations, Bhatia and Smith finally sold the service to Microsoft in 1997 for $400 million (around ₹2,950 crore today).

Bhatia later explained that while Hotmail had tremendous potential, they chose to sell it because their resources were limited, and Microsoft had the capability to create a competing service that could have overshadowed their success. Selling to Microsoft allowed Hotmail to grow under the umbrella of a powerful company.

Life after Hotmail
After the acquisition, Bhatia worked with Microsoft for about a year before moving on to pursue other projects. He launched ventures like JaxtrSMS, a messaging service, and Arzoo Inc., an e-commerce firm. However, neither of these projects managed to replicate the success of Hotmail, and both were eventually shut down.

In 2021, Bhatia co-founded ShowReel, an AI-powered learning platform, alongside Aji Abraham. This venture marked his latest attempt at creating something new in the tech world, although it is yet to achieve widespread success like Hotmail.

Sabeer Bhatia’s Net Worth and Personal Life
Despite some setbacks in his entrepreneurial career, Sabeer Bhatia's net worth is still impressive, standing at approximately ₹1,660 crore. His journey highlights both the highs and lows of entrepreneurship.

Born on December 30, 1968, into a Sindhi-Hindu family, Bhatia’s personal life also saw significant changes. He married Tanya Sharma in 2008, and they have a daughter named Arianna. Unfortunately, their marriage ended in 2013 when the couple filed for divorce in a San Francisco court.

Though Bhatia has not been able to replicate the groundbreaking success of Hotmail, his contribution to the tech world remains significant. Hotmail eventually transformed into what is now known as Microsoft Outlook, a widely used email service. Bhatia’s story continues to inspire aspiring entrepreneurs, showcasing the importance of innovation, adaptability, and perseverance in the tech industry.

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