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‘We’re not in business to lose money’: Q&A with Sensi Brands CEO Tony Giorgi

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When massive amounts of capital were being poured into greenhouse construction a few years ago during the heyday of Canada’s cannabis stock mania, the chief executive of Toronto-based Sensi Brands made a decision.

CEO Tony Giorgi put his capital behind sales channels and brands instead of mass-scale greenhouse investments.

Giorgi utilized a “capital-light model” – the opposite of his largest competitors.

It paid off.

After the dust settled, his competitors had lost billions of dollars and shuttered facilities in Canada and overseas, and Sensi says it became one of the only profitable cannabis producers in Canada.

Sensi, privately owned, opened its books to MJBizDaily to confirm last year’s profit but declined to release the specific amount.

“We do not issue products into the marketplace at negative margin. It’s part of our mantra. We’re not in business to lose money,” Giorgi said.

“We focused on innovating highly desirable brands, creating distribution channels and then working with LPs to get their craft products to market.

“We did not come out in 2019 with the intent of being the largest cultivator or extractor in the country.”

Sensi has a small cultivation facility and farm-gate store in St. Thomas, Ontario, and typically focuses on specialized strains.

The business also has a medical channel, called Sensi Medical, with approximately 4,000 active patients.

Positive cash flow notwithstanding, Sensi says the company, some 100 employees, stands out in a number of ways.

Management consumes cannabis daily (after workdays), and workers are invited to consume at monthly teembuilding meetings.

MJBizDaily spoke with Giorgi about his company and the outlook for the industry.

What did competitors, who destroyed millions of grams of cannabis and lost billions of dollars, get wrong in the years after legalization?

Between 2016 and 2019, you had a lot of companies with a flawed business model.

The entire business models were getting great genetics and growing great weed at scale.

Everyone was mass-scale.

They grew all that weed, and they all looked at each other and said, “Hey, do you want to buy it?”

Nobody focused on the distribution paths, and that’s how our business model is different.

What are other key details about your business model? 

It’s a capital-light model focused on building channels. It’s not about focusing on growing commodity weed.

We built an ecosystem to rationalize quality weed versus undesirable weed but also to work with all the craft growers, who aren’t brand experts, in getting their product to market and underpinning our brands with that product.

We have five lines of business. We have a wholesale distribution line of business, where we’ve worked hard to sign supply agreements for spot buy, contract grow and joint ventures.

The wholesale distribution business is valuable to the company and the LPs that are part of the ecosystem, because it’s a distribution path for them.

The core line of business, which is our CPG brands business, is where we focus a lot of our efforts.

We invest a lot of money in the education, triaging and fulfillment of our medical patients through our fourth line of business, which is the medical marketplace (Sensi Medical).

We launched the medical marketplace last year with the intent of curating one of the best medical marketplaces in the country, by going to all the LPs and selecting all of their best medical products to have a one-stop shop.

As a patient of that clinic, why would I want to be committed to one LP when I could have all the best products in one marketplace? That was the vision behind the marketplace.

The farm-gate store is the fifth line of business.

Every line of business is capital-light and cash-flow positive.

You’re either the only standard licensed producer to turn an annual profit or you’re one of a small number. What are you doing differently?

We’re relentless about innovation, optimization and execution.

Those sound like fancy words, but the reality is this is my sixth startup company over the last 30 years.

We have one of the most experienced leadership teams.

We have a very disciplined approach to how we build companies.

We’re cannabis sommeliers by trade, so we’ve invested in learning everything about the plant.

We’re daily, experienced consumers, so we intimately have the academic and experiential knowledge to successfully navigate and launch highly desirable brands.

How do your employees factor into your success?

The one thing that I unequivocally would never lose sight of is the culture of the company and the employees.

We have gone above and beyond to create a culture and environment here that bleeds family and community.

We pay very competitive compensation, offer career growth and training and have a weekly 4/20 meeting, where the company shuts down at the end of the day and there’s a presentation in an educational component.

The staff is permitted to consume their cannabis of choice during that meeting. When the meeting is over, that transcends into a social time, or they wrap up for the day.

We’re trying to create an environment that’s transparent and promotes from within.

Culture and employees are the No. 1 priority for me and the management team.

You were involved in tech during the dot-com boom and bust, in your roles at Q9 Networks and others. What parallel, if any, do you see with cannabis, and how do you see it playing out?

There are a lot of parallels with the legalization of cannabis and the internet boom.

The years 1995 and 2000 in tech are very similar to 2015 to 2019 in cannabis.

By 2000, all the early e-commerce prospectors were a little premature, and therefore we had the big dot-com crash, which is effectively what we had in (cannabis) in 2021.

By 2003 and 2004, the real businesses – not the pump-and-dumps – the people building real cash-flow earning companies started to emerge.

We started seeing the likes of Amazon Web Services, Microsoft Azure, Google and Shopify emerge.

I kind of see the same parallel in cannabis.

I think the next three to five years will be very exciting for the cannabis space. The dust is settling.

The fly-by-nights are on their way out, and now, real companies are emerging that are building solid businesses and gaining market share on business fundamentals and profitable revenue.

I’m very optimistic that the next three to five years are going to be an exciting time in the cannabis space.

Source: https://mjbizdaily.com/sensi-brands-ceo-tony-giorigi-discusses-profits-canadian-cannabis-industry/

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Jio’s 1,600-Satellite LEO Constellation Gets Technical Green Light

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Reliance Jio has crossed a significant milestone in its space connectivity ambitions after its proposal to deploy a Low Earth Orbit (LEO) satellite constellation of around 1,600 satellites received a positive technical assessment from the Indian National Space Promotion and Authorisation Centre (IN-SPACe).

The evaluation, conducted jointly by IN-SPACe, the Indian Space Research Organisation (ISRO), and the Wireless Planning and Coordination (WPC) wing of the Department of Telecommunications, reportedly concluded that Jio’s proposed system meets the required technical standards and is comparable to leading global satellite broadband networks.

India’s Indigenous LEO Satellite Vision

Under the proposal, Reliance Jio plans to deploy between 1,600 and 1,650 satellites in Low Earth Orbit at an altitude of around 650 kilometres.

The planned constellation is expected to provide high-speed satellite connectivity across India, with approximately 32 satellites visible from any location at a given time. The company aims to roll out the network within the next two to three years, subject to regulatory approvals.

According to industry estimates, the satellite system could deliver 4.5 to 5 terabits per second (Tbps) of total data capacity, making it one of the largest satellite broadband projects proposed in India.

The project is expected to require an investment of $10–15 billion (approximately ₹95,000 crore to ₹1.42 lakh crore), reflecting the scale of infrastructure needed for satellite manufacturing, launches, ground stations, and user terminals.

Regulatory Process Moves Forward

Following the successful technical review, the proposal is expected to move into the next phase of regulatory approvals.

The government may now assist Jio in securing orbital slots, coordinating spectrum usage, and filing applications with the International Telecommunication Union (ITU), the global body responsible for managing satellite orbit and frequency allocations.

Obtaining orbital rights remains a critical step, as Low Earth Orbit has become increasingly competitive due to the growing number of satellite broadband projects being planned worldwide.

Officials also indicated that the proposed satellite architecture has been designed to coexist with future Indian LEO constellations, allowing multiple domestic operators to share orbital resources efficiently.

Broadband, Mobile Connectivity, and Strategic Applications

Jio plans to use the satellite network to provide a range of communication services, including satellite broadband, mobile backhaul, enterprise connectivity, and direct-to-device (D2D) satellite communication, particularly in remote and underserved regions where conventional telecom infrastructure is limited.

The company also intends to establish 20 to 22 ground stations across India to support network operations.

Apart from commercial telecommunications, officials have highlighted the project’s potential strategic importance. A domestically developed satellite constellation could strengthen India’s communication infrastructure, reduce dependence on foreign satellite operators, and support national security requirements.

Reports suggest preliminary discussions are underway regarding the possibility of integrating defence-related payloads into some satellites, enabling both civilian and strategic use.

Major Step for India’s Space and Telecom Sectors

Industry analysts view the technical clearance as an important milestone in India’s expanding private space ecosystem. If Jio secures the remaining regulatory approvals and international orbital clearances, the project could become the country’s first large-scale indigenous LEO satellite broadband network.

The initiative also aligns with India’s broader efforts to expand digital connectivity while strengthening its presence in the global satellite communications market.

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Alleged Crores Pharma Scam Mastermind Arrested from Surat

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After evading law enforcement for nearly 13 years, an accused linked to a large-scale pharmaceutical fraud case has been arrested by Delhi Police from Surat, Gujarat. The suspect is alleged to have orchestrated a series of financial scams involving fake identities, forged documents, and dishonoured cheques used to procure high-value pharmaceutical raw materials.

Authorities say the accused, identified as Himmat Singh Lodha, is believed to have defrauded multiple pharmaceutical companies in Delhi of goods worth approximately ₹98 lakh before disappearing and remaining underground for years.

Fake Business Deals and Dishonoured Cheques Used in Fraud

Investigators claim the accused posed as a legitimate pharmaceutical trader and placed bulk orders for expensive drug ingredients, offering post-dated cheques as payment security.

In one documented case from 2013, he allegedly obtained around 550 kilograms of Gliclazide, a diabetes-related pharmaceutical ingredient, valued at over ₹26 lakh. When suppliers attempted to encash the cheques, they were reportedly returned with the remark “account closed.”

Following the transaction, the accused allegedly vacated his office and rented residence and disappeared without settling payments. He was later declared a proclaimed offender in 2016 after repeatedly failing to appear before court proceedings. Authorities had also issued a reward for information leading to his arrest.

Multiple Identities and Repeated Fraud Pattern

Police investigations further link the accused to another cheating case dating back to 2012, where he allegedly used a fake identity, “Kailash Jain,” to obtain a large consignment of Ambroxol HCL, a pharmaceutical compound used in cough medications. The value of that consignment was estimated at around ₹72 lakh.

Officials believe the accused followed a consistent modus operandi—posing as a credible businessman, securing high-value goods on deferred payment terms, and then disappearing after delivery while shutting down business operations.

Investigators suspect that forged business records, fake company credentials, and fabricated financial histories were used to build trust with suppliers and gain access to expensive raw materials.

Multi-State Surveillance Leads to Arrest in Surat

A special Crime Branch team tracked the accused through coordinated surveillance efforts across multiple cities, including Mumbai, Ahmedabad, and Surat. After nearly a month of technical monitoring and intelligence gathering, officials located and arrested him from a residential area in Surat.

Authorities also revealed that the accused had been involved in property-related activities while staying under the radar to avoid detection.

Growing Threat of Corporate Identity Fraud

The case highlights a rising trend of organised financial fraud targeting industries that rely heavily on trust-based transactions and deferred payments. Experts note that criminals increasingly exploit gaps in corporate verification systems by using fake GST registrations, temporary offices, and forged documentation to appear legitimate.

Cybercrime and financial fraud specialists warn that such schemes are becoming more complex with the widespread availability of digital business tools, making it easier to create convincing but fraudulent corporate identities.

Experts Urge Stronger Due Diligence in High-Value Transactions

Experts, including former IPS officer and cybercrime specialist Prof. Triveni Singh, emphasize the need for stricter verification procedures in commercial dealings. He noted that relying solely on paperwork or digital business profiles can expose companies to significant financial risk.

Authorities and industry experts recommend physical verification of business operations, bank account validation, and detailed background checks before engaging in high-value or deferred-payment transactions—particularly in sectors like pharmaceuticals, where single consignments can involve transactions worth crores.

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EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices

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A growing coalition of European industry groups is intensifying pressure on regulators to take decisive action against Google over allegations of unfair search practices that could reshape competition rules across the region’s digital economy.

Investigation Under Digital Markets Act Gains Momentum

The case is being examined by the European Commission under the European Union’s landmark Digital Markets Act (DMA), introduced to curb the dominance of major technology platforms and ensure fair competition.

Launched in March 2024, the investigation focuses on whether Google has been prioritising its own services in search results, potentially disadvantaging rival businesses that rely on online visibility to reach customers.

Industry Groups Demand Swift Action

Several prominent European organizations have jointly urged regulators to conclude the probe without further delay. They argue that prolonged investigations allow alleged anti-competitive practices to continue, putting European companies—especially startups—at a disadvantage.

Signatories include the European Publishers Council, the European Magazine Media Association, the European Tech Alliance, and EU Travel Tech.

In a joint statement, these groups warned that delays in enforcement are affecting innovation, profitability, and growth prospects for regional businesses competing in digital markets.

Google Denies Allegations

Google has rejected claims of bias, stating that its search algorithms are designed to deliver the most relevant and useful results to users. The company has also proposed adjustments to address regulatory concerns.

However, critics argue that these changes are insufficient and fail to address the core issue of market dominance.

Potential Billion-Euro Penalties

If found in violation of the DMA, Google could face significant financial penalties. Under EU rules, fines can reach a substantial percentage of a company’s global turnover, potentially amounting to billions of euros.

Regulators may also impose corrective measures requiring changes to business practices, which could have long-term implications for how digital platforms operate in Europe.

Wider Implications for Big Tech

The case highlights ongoing tensions between European regulators and major U.S. technology firms. In recent years, the EU has taken a more aggressive stance in enforcing competition laws, aiming to create a level playing field for local businesses.

A final ruling against Google could set a major precedent, influencing future enforcement actions and shaping the regulatory landscape for global tech companies operating within Europe.

As scrutiny intensifies, the outcome of the investigation is expected to play a critical role in defining the future of digital competition across the European Union.

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