The government will launch the second phase of the Startup India programme on January 16, 2024
It is expected that the second phase will see more support for startups in terms of stable policies and taxation, and better valuation norms
The Startup India programme was launched eight years ago on January 16, 2016 to build a strong ecosystem for nurturing innovation and Startups in the country
The central government is gearing up to roll out the second leg of its Startup India programme on Tuesday (January 16) next week, with a major focus on deeptech firms.
As per ET’s report, citing officials, these firms will concentrate on critical areas such as semiconductor chips, quantum computing, artificial intelligence and cybersecurity.
The second phase of Startup India programme is anticipated to provide increased support for startups, including stable policies and taxation, improved valuation norms and enhanced research and collaboration opportunities with both industry and academia.
The Startup India programme, initiated on January 16, 2016, aims to establish a robust ecosystem for fostering innovation and startups in the country, contributing to sustainable economic growth and generating substantial employment opportunities.
The action plan seeks to accelerate the startup movement in digital and technology sectors, along with other domains like agriculture, biotechnology, manufacturing, social sector, healthcare, and education.
The emphasis on deeptech firms in the second phase of the Startup India programme aligns with the government’s ongoing efforts to boost growth in this sector. The Draft National Deep Tech Startup Policy (NDTSP), 2023, was released for public consultation on July 31, 2023.
In December, last year, a draft Cabinet note for the Deep Tech Startup Policy was prepared by DPIIT.
The policy, by concentrating on deep tech, aims to strengthen innovation and research and development in sectors crucial to Industry 4.0, allowing these startups to lead transformative changes in manufacturing, healthcare, and beyond.
Inc42 data reveals that before 2014, India had fewer than 100 deeptech startups, but between 2014 and 2023, this number surged more than 4 times to over 400 startups.
The ecosystem has become more structured and now encompasses new sub-sectors such as defence tech, dronetech, spacetech, IoT & hardware, and robotic process automation, among others.
These startups leverage advanced technologies like artificial intelligence (AI), augmented reality (AR), virtual reality (VR), cloud computing, machine learning (ML), big data analytics, robotic process automation, Gen AI, and more to address complex global problems with innovative solutions, attracting investors to the sector.
Despite the ongoing funding challenges, the sector has continuously grown in the last three years. In 2023, deeptech startups raised $496 Mn compared to $397 Mn in 2022, according to Inc42’s latest “Indian Tech Startup Funding Report 2023”.
Overall, between 2014 and 2023, deep tech startups in India have secured over $1.5 Bn in funding across 343+ deals. Notable startups in the ecosystem include Grey Orange, Smartron, FanCraze, and 5ire among others
