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India’s AI Startup Ecosystem Accelerates as Funding Flows Jump
Indian AI startups are spearheading VC flows, claiming over 50% of funding in 2025 and shifting model of growth.
India’s generative-AI startup ecosystem is showing strong momentum in 2025, with AI ventures capturing more than half of all venture-capital funding in the country, according to recent reports.
Efficiency-driven models, lower compute costs and government support (via the IndiaAI Mission) are aiding acceleration. While total deal volume has dropped globally, Indian AI startups are reaching revenue-proof models faster and attracting bigger cheque sizes. Observers say this marks a structural shift rather than a temporary surge.