India’s tech startup funding rebounds in H1 2024 after two-year decline: Report
According to Tracxn's H1 2024 report, India’s tech startup ecosystem raised $4.1 billion, marking a 4% increase from H2 2023. Despite a 13% drop from H1 2023, India remains the fourth-highest funded country globally.
- Jun 21, 2024,
- Updated Jun 21, 2024 12:45 PM IST
India's tech startups have experienced a boost in funding during the first half of 2024. According to Tracxn's India Tech Semi-Annual Funding Report, these startups raised $4.1 billion in H1 2024. This marks a 4 per cent increase from the $3.96 billion raised in the latter half of 2023, although it is a 13% decrease from the $4.8 billion raised in the same period last year.
India remains the fourth-highest funded country in the tech startup sector globally, following the United States, the UK, and China. Bengaluru topped the list for the most funds raised, with Mumbai and Hyderabad following.
Retail, Enterprise Applications, and FinTech emerged as the leading sectors in H1 2024. Here's a breakdown of funding by stage:
-Seed-stage funding: Increased to $455 million -Early-stage funding: Remained steady at $1.3 billion -Late-stage funding: Rose to $2.4 billion Despite challenges, there were eight funding rounds exceeding $100 million. Notably, Flipkart secured a $350 million Series J round led by Google. Three new unicorns were born, and 33 companies joined the Soonicorn club, indicating they are on the verge of becoming unicorns.
The number of IPOs rose to 17, with significant public listings including TBO and TGIF Agribusiness. However, acquisitions saw a decline, dropping to 43 notable deals. Among these, PingSafe was acquired by SentinelOne for $100 million.
The top investors in H1 2024 included Accel, Blume Ventures, and Peak XV Partners, demonstrating their continued confidence in India's tech startups.
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India's tech startups have experienced a boost in funding during the first half of 2024. According to Tracxn's India Tech Semi-Annual Funding Report, these startups raised $4.1 billion in H1 2024. This marks a 4 per cent increase from the $3.96 billion raised in the latter half of 2023, although it is a 13% decrease from the $4.8 billion raised in the same period last year.
India remains the fourth-highest funded country in the tech startup sector globally, following the United States, the UK, and China. Bengaluru topped the list for the most funds raised, with Mumbai and Hyderabad following.
Retail, Enterprise Applications, and FinTech emerged as the leading sectors in H1 2024. Here's a breakdown of funding by stage:
-Seed-stage funding: Increased to $455 million -Early-stage funding: Remained steady at $1.3 billion -Late-stage funding: Rose to $2.4 billion Despite challenges, there were eight funding rounds exceeding $100 million. Notably, Flipkart secured a $350 million Series J round led by Google. Three new unicorns were born, and 33 companies joined the Soonicorn club, indicating they are on the verge of becoming unicorns.
The number of IPOs rose to 17, with significant public listings including TBO and TGIF Agribusiness. However, acquisitions saw a decline, dropping to 43 notable deals. Among these, PingSafe was acquired by SentinelOne for $100 million.
The top investors in H1 2024 included Accel, Blume Ventures, and Peak XV Partners, demonstrating their continued confidence in India's tech startups.
For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine