The Ecosystem and Initiatives
- Policy: The draft National Deep Tech Startup Policy (NDTSP) aims to support over 9,000+ startups with regulatory and funding support.
- Accelerator Programs: India Deep Tech Accelerator (supported by IITs/Polsky Center) and Nasscom Deeptech play key roles.
- Funding & Growth: ADITI scheme (under iDEX) provides substantial grants for defense innovation.
Government Support
The government policy has become increasingly aligned with the longer timelines and higher capital requirements of deep technology firms.
The government has also been implementing a Research, Development and Innovation (RDI) fund worth $12,000 crore ($12 billion) to support deep tech start-ups and research-driven businesses.
There has also been an increase in private capital. To mobilize long-term capital for the Indian deep tech sector, a consortium of American and Indian investors, such as Accel, Blume Ventures, and Celesta Capital, formed the India Deep Tech Alliance.
In the coming years, the alliance’s members have committed more than $2.5 billion for deep tech investments in India, including $1 billion specifically for AI.
Key Happenings in the Deep-Tech Landscape of India
India’s Deep-Tech Ambitions go global with IIT Madras
To expand India’s deep-tech innovation footprint into global ecosystems, the Indian Institute of Technology Madras Global Research Foundation has announced the establishment of its first center in the United States.
The Menlo Park centre, enabled through our partnership with CA Startups, is a strategic anchor for IITM Global’s US operations,” Thirumalai Madhavnarayan, CEO of the IIT Madras Global Research Foundation, said.
“With a focused investment approach, we aim to build a platform that accelerates deep-tech ventures from lab to global markets, while also attracting global innovation into India,” he said.
The centre will be developed with a total planned investment of USD 7.5 million, including a greenfield investment of USD 4.5 million from IITM Global, Narayan said.
The IITM Centre is strategically located near Silicon Valley and aims to provide access to global capital, markets, mentorship, and partnerships for Indian deep-tech companies.
Karnataka Supports Deep-Tech Excellence
As part of Karnataka’s strategic vision for innovation-led industrial transformation, the LEAP program will identify and support Deeptech startups across the country through grant-in-aid funding.
It is designed specifically for startups that use advanced technologies to develop novel solutions for complex and unresolved challenges, or that develop new technologies rooted in the fundamentals of science and engineering.
Criteria for Eligible Deeptech Innovations
- Use of advanced technologies including but not limited to Artificial Intelligence (AI), Machine Learning (ML), Internet of Things (IoT), Blockchain, Big Data & Analytics, Augmented Reality/Virtual Reality (AR/VR), Robotics, 3D Printing, and Drones.
- High technical complexity with the potential to redefine existing industries or create entirely new markets.
- Integration of multiple technologies to solve problems at the intersection of domains.
- A foundation in new scientific discoveries, complex engineering processes, or proprietary technology development.
- To support the growth of startups in the program, milestone-based funding and mentorship will be provided to those who apply for the program. The startup will be eligible for a grant-in-aid of up to Rs. 1 crore.
In the 2026 Notification, Deep Tech is formally incorporated into India’s startup policy framework. Providing extended recognition timelines, increasing turnover thresholds, and defining Deep Tech Startups clearly will enhance investor confidence and promote R& D-driven entrepreneurship. A successful implementation, however, will require alignment with foreign investment regulations, particularly for startup limited liability partnerships and funding instruments. This notification by Department for Promotion of Industry and Internal Trade strengthens India’s innovation ecosystem and sets out a clear policy commitment to technology-led growth.
