Deeptech startups' trouble runs deeper than just lack of ambition

Founders say sector hamstrung by R&D lag, funding crunch

- URVI MALVANIA

COMMERCE AND INDUSTRY minister Piyush Goyal had criticised Indian startups recently for leaning too heavily on low-hanging fruits like consumer technology rather than taking strides in the more challenging domain of deeptech. While his comments sparked a broader debate about the country's innovation strategy, founders and investors maintain that the problem lies as much in the structure of the ecosystem as in the startups' ambitions.

Deeptech, which spans sectors like space, semiconductors, biotech, and advanced AI, is inherently complex and slow-moving. It requires years of intensive research and long gestation periods before products are market-ready. The Indian startup ecosystem, which is still largely shaped by the quick returns of consumer tech, has yet to develop the depth of patient capital and institutional R&D support needed to foster such innovation.