New Delhi, April 3
India added the second highest number of unicorns at six, as compared to top global tech startup ecosystems, in 2024 -- taking the combined valuation of current Indian unicorns to more than $220 billion, a report showed on Thursday.
Unicorns’ share in total funding in 2024 stood at 33 per cent, according to a report by Nasscom, in collaboration with Zinnov, which was launched on the sidelines of the ‘Startup Mahakumbh’ event here.
In 2024, the Indian tech startup ecosystem witnessed a 23 per cent surge in funding, with total tech funding rising to $7.4 billion.
The number of deals also saw a 27 per cent uptick compared to 2023. This revival was further underscored by a 2.1X increase in newly founded tech startups during the year, bringing the total number of Indian tech startups to an estimated 32,000–35,000, according to the report.
Rajesh Nambiar, President, Nasscom, said, "The growth across mature and emerging sectors, specifically in DeepTech and AI, outlines the Indian tech startup ecosystem's growing maturity, evolving from being just a hub of opportunities to becoming a strategic force driving India's digital economy.
“DeepTech startups play an increasingly crucial role in shaping India's innovation landscape. Our focus now must be on strengthening the foundational pillars of this growth, from enhancing capital access to building robust innovation infrastructure, ensuring our startups can compete globally while solving uniquely Indian challenges,” he told the gathering.
In terms of funding by stages, seed-stage exhibited highest growth of 29 per cent (in terms of total funding share), followed by early-stage with 25 per cent, and late-stage with 21 per cent in 2024 compared to 2023.
About 67 per cent of tech startup funding in 2024 was focused on “matured” sectors that are characterised by a high aggregate funding value and deal share.
DeepTech funding in 2024 grew by 78 per cent, reaching $1.6 billion.
“At the heart of India's growth, startups are fueling innovation and economic transformation. India is not just a consumer of cutting-edge technology but a creator, a leader and an architect of innovation,” said Pari Natarajan, CEO, Zinnov.
Nearly three-fourths of Indian tech startups remain optimistic on the funding outlook for 2025, while around 98 per cent of respondents anticipate promising revenue increase in 2025, said the report.