India is mobilizing approximately $25 billion in public and private capital to bolster its deep tech sector. The initiative aims to compete with the US and China in artificial intelligence, quantum computing, robotics, and semiconductors.
A central component of this strategy is a new research and innovation scheme valued at $11 to 12 billion. Additionally, the India Deep Tech Alliance, formed in September 2025, has committed over $2.5 billion, with $1 billion specifically allocated for AI.
By mid-2026, alliance members had invested $260 million into 56 companies. In 2025, the sector saw 189 deals totaling $2.96 billion. Furthermore, the IIT Madras Unicorn Frontier Fund reached a first close of $54 million in September 2026.
The government has updated the Startup India framework, extending the recognition period for deep tech firms to 20 years and raising turnover thresholds. Currently, India hosts more than 3,600 recognized deep tech startups.
