The Indian startups faced tough times in recent years, but now the ecosystem is showing signs of recovery. This year the startups have collectively raised $5.2 billion in mega funding rounds. It is a significant rebound from the funding slowdown in past two to three years. Well-known players like Zomato, Zepto and Physics Wallah have led the charge.
Quick commerce and enterprise technology have been at the forefront of the revival. The startups which were much talked were Zomato and Zepto. Each raised more than $1 billion in the mega funding rounds. The fresh capital meanwhile of course reveals the rebounding confidence of investors in high-demand services.
EdTech startups struggled during the recent year’s downturn. However, the sector revived and has made a strong comeback. Companies like Physics Wallah and Eruditus managed to secure significant capitals in the mega funding rounds.
It is to take a note that the primary focus was on late-stage startups. This means that the investors are basically interested in such companies which have proven business models and clear paths to profitability.
However, the numbers are promising this year, but the broader landscape remains challenging. Many startups and particularly those which are in the early stages are facing continued struggle with respect to securing funds. Experts believe that the funding slowdown may not be wrap up completely. Anyways, the mega deals highlight a good path ahead.
It is a valid question now by many whether the same momentum may exist in 2025 and the fundings continue to benefit the Indian startups. Well, the $5.2 billion raised so far is undoubtedly an evidence of strong startup ecosystem in the country.
