Flipkart Partners DPIIT To Invest In Startups

In a bid to promote the homegrown startup ecosystem, ecommerce major Flipkart has partnered with the department for promotion of industry and internal trade (DPIIT) to invest and mentor in emerging startups in the country. 

As per the memorandum of understanding (MoU) signed between the two, Flipkart will back early stage startups through its startup accelerator, Flipkart Leap and Ventures. The Walmart-backed company backs seed to Series A startups via the accelerator, with cheque sizes ranging between $200K to $500K. 

The partnership will also see Flipkart help the emerging startups through their prototype development journey and in expanding in international markets by providing infrastructural support, the ecommerce giant said in a statement. 

While the company didn’t mention the exact number of startups it intends to back, it claims to have backed 20 startups via its accelerator since its inception in 2022. It has invested in startups like NeuroPixel.AI, Dopplr, FlexiflyMe, among others. The size of the fund for the accelerator is $100 Mn. 

“With the continued association and combined synergies, we aim to unlock opportunities for entrepreneurs with our $100 Mn venture fund to pioneer breakthroughs that shape the future of technology and business in India and beyond,” Flipkart’s chief corporate affairs officer Rajneesh Kumar said. 

On the other hand, the DPIIT will provide identified startups access to connections within the Startup India ecosystem, industry reports, research papers, datasets and other studies published by government authorities for market research and fast-track patent applications filed by startups.

“India’s startup ecosystem represents the spirit of innovation and entrepreneurship that drives our nation’s progress. By combining our strengths, this MoU will accelerate the transformation of ideas into impactful solutions, strengthening India’s position as a global innovation leader,” DPIIT director Sumeet Jarangal said. 

This marks the fourth partnership forged by DPIIT to foster the Indian startup ecosystem in recent months. In October, it forged an alliance with HCLSoftware to drive its manufacturing incubation initiative. Besides, it also partnered with Johnson Controls-Hitachi Air Conditioning India for establishing a startup incubator in Gujarat. 

Last week, the DPIIT also partnered with B2B ecommerce platform Moglix to provide support to manufacturing startups.

The developments come at a time when India’s startup ecosystem continues to grow by leaps and bounds. Earlier this month, commerce minister Piyush Goyal said that DPIIT-registered startups have created over 16.67 Lakh direct jobs across more than 55 industries as of October 31, 2024.