<p>Bengaluru: Amidst a funding recovery, India raised a total of $2.5 billion in tech startup funding in the January to March quarter (Q1) of 2025. This marks a 13.64 per cent increase from October-December 2024 and an 8.7 per cent rise from the same period last year, according to a report by market intelligence platform Tracxn, on Monday.</p>.<p>India ranked third globally in Q1, surpassing Malta (fourth) and Germany (fifth). The top-funded countries were the United States and the United Kingdom.</p>.<p>Within the country, Delhi-based tech firms accounted for 40% of the funding, followed by Bengaluru at 21.64 per cent.</p>.<p>Amongst investors, Accel, Blume Ventures and Peak XV Partners were the overall all-time top investors for the quarter. For seed-stage, Venture Catalysts, Unicorn India Ventures and YourNest came out on top, while Avataar Ventures and Sofina invested most in late-stage. Accel, Peak XV Partners and Vertex Ventures were the top early-stage investors in Q1.</p>.Indian markets, rupee reverse 2025’s losses.<p>Sector-wise, auto tech, enterprise applications and retail received the most funds. Three startups (Erisha E Mobility, Darwinbox and Infra Market) received over $100 million each.</p>.<p>Auto tech received $1.1 billion, up a whopping 403.35per cent from $214.6 million raised in the previous quarter, and by 339.71per cent year-on-year (YoY). Enterprise applications received $650.7 million, rising by 21.94per cent sequentially and dropping by 8.12per cent YoY. Retail saw funding of $481.5 million, marking a 21.67per cent increase from Q4 2024 and down by 2.30per cent YoY.</p>.<p>A total of 38 acquisitions were also completed during the quarter, signalling a maturing market as per Tracxn. This marks a 15.15 per cent increase from the previous quarter and a 40.74 per cent rise YoY. The largest deal was Magma General’s $516 million acquisition by DS Group and Patanjali Ayurved.</p>.<p>Late stage companies saw the most funding, in fact, with $1.8 billion, an increase of 114.54 per cent YoY, marking a shift. Early stage, on the other hand, saw a drop of 52 per cent from the previous year to $528 million this quarter. Seed stage saw the steepest fall amongst the three, by 55.77 per cent YoY to $157 million.</p>.<p>Six companies publicly listed during the quarter (Nukleus, Maxvolt Energy, Volercars, and Harshil Agrotech). However, there were no unicorns created, while two were created in the same period last year.</p>
<p>Bengaluru: Amidst a funding recovery, India raised a total of $2.5 billion in tech startup funding in the January to March quarter (Q1) of 2025. This marks a 13.64 per cent increase from October-December 2024 and an 8.7 per cent rise from the same period last year, according to a report by market intelligence platform Tracxn, on Monday.</p>.<p>India ranked third globally in Q1, surpassing Malta (fourth) and Germany (fifth). The top-funded countries were the United States and the United Kingdom.</p>.<p>Within the country, Delhi-based tech firms accounted for 40% of the funding, followed by Bengaluru at 21.64 per cent.</p>.<p>Amongst investors, Accel, Blume Ventures and Peak XV Partners were the overall all-time top investors for the quarter. For seed-stage, Venture Catalysts, Unicorn India Ventures and YourNest came out on top, while Avataar Ventures and Sofina invested most in late-stage. Accel, Peak XV Partners and Vertex Ventures were the top early-stage investors in Q1.</p>.Indian markets, rupee reverse 2025’s losses.<p>Sector-wise, auto tech, enterprise applications and retail received the most funds. Three startups (Erisha E Mobility, Darwinbox and Infra Market) received over $100 million each.</p>.<p>Auto tech received $1.1 billion, up a whopping 403.35per cent from $214.6 million raised in the previous quarter, and by 339.71per cent year-on-year (YoY). Enterprise applications received $650.7 million, rising by 21.94per cent sequentially and dropping by 8.12per cent YoY. Retail saw funding of $481.5 million, marking a 21.67per cent increase from Q4 2024 and down by 2.30per cent YoY.</p>.<p>A total of 38 acquisitions were also completed during the quarter, signalling a maturing market as per Tracxn. This marks a 15.15 per cent increase from the previous quarter and a 40.74 per cent rise YoY. The largest deal was Magma General’s $516 million acquisition by DS Group and Patanjali Ayurved.</p>.<p>Late stage companies saw the most funding, in fact, with $1.8 billion, an increase of 114.54 per cent YoY, marking a shift. Early stage, on the other hand, saw a drop of 52 per cent from the previous year to $528 million this quarter. Seed stage saw the steepest fall amongst the three, by 55.77 per cent YoY to $157 million.</p>.<p>Six companies publicly listed during the quarter (Nukleus, Maxvolt Energy, Volercars, and Harshil Agrotech). However, there were no unicorns created, while two were created in the same period last year.</p>