Synopsis
As India aims for a $10 trillion economy, a shift from a software-driven tech ecosystem to one focused on deep-tech innovations is underway, backed by government initiatives and rising venture capital investments.Key Takeaways
- India is transitioning to a deep-tech innovation ecosystem.
- Government initiatives are boosting Frontier Tech growth.
- India employs 20% of global semiconductor design engineers.
- Investment readiness in deep tech is increasing.
- Challenges remain in EV infrastructure and battery efficiency.
Bengaluru, March 6 (NationPress) As the country progresses towards achieving a $10 trillion economy, India is experiencing a significant transformation from a software-centric technology landscape to one that is fueled by deep-tech innovations, according to a report released on Thursday.
Government-supported initiatives like the Rs 10,000 crore ‘Fund of Funds’, India’s Semiconductor Mission (ISM), and the National Deep Tech Startup Policy (NDTSP) showcase a growing dedication to promoting Frontier Tech innovation and commercialization, as stated in the report by 3one4 Capital.
Investment from venture capital in deep tech is on the rise within the nation, with early-stage funds supporting scalable, IP-focused startups. India's cost advantages and engineering expertise provide a distinctive advantage in the global market.
India plays a crucial role in the worldwide semiconductor design arena, employing around 20 percent of the globe's semiconductor design engineers, with approximately 125,000 professionals in the field.
National research initiatives, university incubators, and corporate R&D investments are enhancing talent retention and development. Through strategic skill enhancement, India is facilitating deep tech growth supported by a robust pipeline of researchers, engineers, and entrepreneurs, the report highlighted.
“The deep-tech sector in India is evolving from a niche market into an investment-ready and policy-supported opportunity with global relevance. While the groundwork is solid, transitioning deep tech innovation into commercially viable, competitive enterprises will necessitate consistent capital, collaborative ecosystems, and patient execution,” remarked Pranav Pai, Founding Partner and Chief Investment Officer of 3one4 Capital.
With both industrial and governmental players actively promoting adoption, India is at a critical juncture — one where methodical innovation and long-term commitment will dictate its leadership in AI, semiconductors, and clean mobility over the next decade, Pai noted.
With projections indicating that 70 percent of new commercial vehicles in India will be EVs by 2030, key challenges to scaling include charging infrastructure and battery efficiency.
“With $10 billion in government incentives and strategic public-private collaborations, the country is fortifying its fabless design and semiconductor manufacturing ecosystem,” the report concluded.
