Race for Flipkart: While world\u2019s largest retailer Walmart moves to the final lap of a in a $12 billion deal to buyout Flipkart, a formal offer from rival Amazon to pick up a 60% stake makes matters the biggest deal in India\u2019s e-commerce market. According to a report by CNBC TV18,\u00a0Amazon has made a formal offer to pick up a 60% stake, which is likely to be on par with Walmart\u2019s bid for the Indian e-commerce major. \u00a0Further, billionaire Jeff Bezos-run Amazon is also seeking a non-compete agreement with Flipkart\u2019s founders, sources told the channel. According to the currently available details, Amazon is also offering a breakup fee of up to $2 billion. We take a closer look at why Amazon is keen on buying out India\u2019s Flipkart. Ploy to block Walmart The offer by Amazon could be a ploy to block Walmart from bringing its expertise in logistics and supply chain management to Flipkart, Reuters reported citing sources. Interestingly, Flipkart\u2019s board had already seriously considered Walmart and Amazon as potential partners, but ultimately decided Walmart, as a deal with Walmart would mean lesser regulatory hurdles due to its lack of India presence, Bloomberg reported recently. Further, major investors in Flipkart including \u00a0Tiger Global, South Africa\u2019s Naspers as well as founders Sachin and Binny Bansal prefer Walmart over Amazon, CNBC TV18 report said. Expand India market The development of a potential Flipkart-Amazon deal comes at a time when Amazon\u2019s top boss Jeff Bezos has planned to invest upto $5.5 billion in the year. Jeff Bezos noted recently that Amazon.in (Amazon.com\u2019s India business) is the fastest growing marketplace in India, and the most visited site on both desktop and mobile, according to comScore and SimilarWeb. Currently, Amazon.com holds 27 percent of India\u2019s $30 billion e-commerce market. A potential deal with Flipkart could give Amazon a bigger pie of India\u2019s growing e-commerce market. Tackle heightened competition While Walmart looks to correct it\u2019s China mistake by betting on India\u2019s Flipkart, wherein it initially bought an unprofitable, second-tier online marketplace only to exchanged it five years later for a stake in JD.com according to Bloomberg, Amazon looks to go all out to retain its higher online market share. While Walmart is already the world\u2019s largest retailer, the firm faces heightened rivalry from Amazon as consumers migrate the online channel. Notably, according to a report by Assocham and Deloitte, the digital commerce market in the country is expected to cross USD 50 billion in value by the end of 2018.\u201cThere isn\u2019t another country with this kind of an opportunity. India may not be a big deal now, but it\u2019s the future opportunity that Walmart and Amazon are eyeing,\u201d \u00a0Satish Meena, a New Delhi-based senior forecast analyst at Forrester Research Inc told Bloomberg.