Powered by deeptech, the Indian tech startup ecosystem too witnessed a comeback with a 23 per cent surge in funding to $7.4 billion
Chennai: Powered by AI investments, deeptech startups witnessed a 78 per cent surge in funding in 2024, while the number of tech startups grew to around 35,000 in the year.
The funding in deeptech grew by 78 per cent to reach $1.6 billion in 2024 against 0.9 billion. In 2022, deeptech had raised $3.7 billion. Investments in tech startups leveraging Artificial Intelligence contributed 87 per cent of the deeptech funding in 2024. Startups in enterprise tech, heath tech and BFSI accounted for more than 50 per cent of the funding, according to NASSCOM.
Further, deeptech usage has become mainstream in 95 per cent companies using it and 83 per cent companies are using AI.
Powered by deeptech, the Indian tech startup ecosystem too witnessed a comeback with a 23 per cent surge in funding to $7.4 billion.
Meanwhile, more than 2000 new tech startups were founded in 2024 compared to 2023, bringing the total size to an estimated 32,000–35,000 startups. In 2023, around 950 new tech startups were founded.
Six more unicorns were added in 2024, taking the total unicorn valuation beyond $220 billion. Of this, BFSI and enterprise tech unicorns were valued at $114 billion. These high-growth startups accounted for 33 per cent of total funding in the tech startup ecosystem.
Further, 12 tech startups went for IPOs in 2024, taking the number of listed tech startups to 27 against 15 in 2023. Cumulative issue size of tech IPOs moved up from $6.4 billion to $10.4 billion.
According to Nasscom’s industry survey, 88 percent of tech startup founders reported revenue growth in 2024, far exceeding the 67 percent anticipated in the previous year’s outlook. The funding sentiment remains positive, with nearly 75 percent of Indian tech startups expecting improved funding conditions in 2025, while 98 percent anticipate revenue growth.
