From Bharat to Brussels: India's Startup Surge Gets Global, Local & Unicorn-Sized Push!

India's startup ecosystem roared with momentum this week, bridging local innovation with global ambitions. From ICAI’s mission to power 25,000 MSMEs to Balaji Srinivasan’s vision of building a new country for techies near Singapore, the week was packed with breakthroughs that showcased India’s expanding entrepreneurial edge—both in scale and imagination.

While DeepTech and Fintech emerged as strong bets, IPO-bound startups like Meesho and PhysicsWallah prepared to raise thousands of crores from public markets. Funding remained robust, with Jumbotail becoming the latest unicorn. A major policy push came in the form of the ₹1 lakh crore RDI scheme approved by the Cabinet to accelerate innovation in strategic and sunrise sectors.

In leadership changes, Mamatha Venkatesh took charge as the new face of Startup India, and initiatives like MeitY’s Global Startup Bridge and DPIIT’s 60+ MoUs pushed India further on the global innovation map. A quiet revolution is also brewing in small towns and student campuses—from UPES in Dehradun backing student founders, to grassroots innovations from Tamil Nadu and Bihar making headlines at Startup Mahakumbh.

Here's your full weekly round-up from June 30 to July 6—packed with unicorns, policies, bridges, and Bharat-led breakthroughs.

ckground in innovation policy and enterprise enablement, her leadership is expected to bring fresh energy to India’s startup push.

Top Startup News

ICAI’s “FATHOM” Initiative Targets 25,000 MSMEs for Viksit Bharat 2047

In a landmark move to bolster India's backbone—its MSMEs—the Institute of Chartered Accountants of India (ICAI) unveiled the FATHOM initiative during its MSME & Startup Conclave 2025 in Mumbai. FATHOM stands for Finance, Accounting, Tech Support, HR, Operations, and Marketing—the six critical pillars ICAI aims to strengthen for over 25,000 MSMEs by 2047.

Union Minister Jitan Ram Manjhi emphasized that India cannot become a $5 trillion economy without empowering its small businesses. The event brought together over 3,000 participants including VCs, incubators, and policymakers. With CA professionals set to lead this business transformation mission, this initiative is being seen as a massive opportunity for MSMEs to level up and integrate with India’s formal and digital economy.

NXP India’s Startup Challenge Fuels India’s DeepTech Ambitions

NXP Semiconductors, a global chip giant, hosted the 5th edition of its India Tech Startup Challenge, inviting young Indian innovators to solve complex problems in AI, chip design, and secure connectivity. Winners get exclusive entry to global accelerators like the Extreme Tech Challenge, mentorship from Electropreneur Park, and co-development opportunities with NXP.

This year's edition saw increased participation from DeepTech startups based in Bengaluru, Pune, and Hyderabad, signalling growing capabilities in India’s embedded systems and chip design space. NXP’s India MD Hitesh Garg said the aim is to “enable the next global unicorn to come from India in the chip-to-cloud space.”

Cabinet Approves ₹1 Lakh Cr RDI Scheme to Boost Innovation in Sunrise Sectors

In a major policy push, the Union Cabinet approved the Research Development and Innovation (RDI) Scheme, setting aside ₹1 lakh crore to promote R&D in sectors like AI, semiconductors, quantum computing, biotech, and green energy.

The scheme will offer long-tenure, low-interest loans to private companies and startups working on breakthrough technologies. The government also plans to set up special innovation hubs and integrate the scheme with India’s Production Linked Incentive (PLI) framework. Experts say this fund could plug the crucial early-stage capital gap in DeepTech startups and position India as a serious R&D powerhouse.

Startup Funding in H1 2025 Crosses $5.7 Billion, Fintech Dominates

According to Tracxn, Indian startups raised $5.7 billion across 470 deals in the first half of 2025—up 8% compared to the same period last year. The fintech sector led with $1.6 billion in funding, followed by SaaS and healthtech. Notably, late-stage deals accounted for nearly 47% of the total funding, indicating investor confidence in mature Indian startups.

Cities like Bengaluru, Delhi-NCR, and Mumbai continue to dominate, but emerging hubs like Pune and Hyderabad also saw a rise in deal flow. This revival is seen as a rebound from the funding winter of 2023-24.

Balaji Srinivasan Buys Island Near Singapore to Build “Network State”

In a headline-grabbing move, US-based Indian entrepreneur and former Coinbase CTO Balaji Srinivasan purchased a private island off the coast of Singapore to create a prototype for his vision of a “Network State”—a digital-first, sovereign startup nation.

This “new country” will be a physical-digital hybrid where residents learn AI, participate in crypto economies, and build companies while living together under decentralized governance. It’s both utopian and experimental—but it’s got global VCs watching. Balaji is inviting applications from founders and engineers interested in being part of this geopolitical tech experiment.

Startup Mahakumbh Showcases Bharat’s Grassroots Innovations

Startup Mahakumbh 2025 hosted by TiE and NIESBUD spotlighted young innovators from Tier-2 and Tier-3 towns—like Bihar, Madhya Pradesh, and Tamil Nadu—who are solving local problems using global tools.

Some standout ideas included a nutrition-tracking wearable for children from Patna, a low-cost solar dryer for farmers from Madurai, and an edtech app for tribal students. Investors expressed strong interest in such context-aware, Bharat-centric startups, signalling a shift in the kind of entrepreneurship India is ready to back.

Meesho, PhysicsWallah, Pine Labs Gear Up for IPOs

The IPO market is buzzing again with Meesho filing to raise ₹4,250 crore, PhysicsWallah aiming for ₹4,000 crore, and Pine Labs likely to list soon. These listings could unlock massive capital for the Indian startup ecosystem and offer early investors healthy exits.

If successful, these IPOs would join the league of Nykaa, Zomato, and Mamaearth—and may also inspire other profitable startups to test public waters.

Mamatha Venkatesh Appointed New Head of Startup India

The Department for Promotion of Industry and Internal Trade (DPIIT) announced Mamatha Venkatesh as the new Head of Startup India. With experience in international trade and innovation policy, she is expected to boost domestic innovation and international collaborations. Under her leadership, Startup India is likely to focus more on women entrepreneurs, green tech, and rural enterprise support.

MeitY Startup Hub Launches Global Bridge in Brussels

To further globalize India’s innovation network, MeitY Startup Hub (MSH) launched the Global Startup Bridge in Brussels, Belgium. This strategic hub will act as a landing pad for Indian startups to enter the EU market, collaborate with R&D institutions, and access European grants.

The Indian delegation also signed an MoU with hub.brussels, signaling deeper ties between Indian and European innovation ecosystems, especially in AI, semiconductors, and clean energy.

DPIIT Secures 60+ MoUs with Corporates to Empower Startups

In an effort to mainstream startups in India Inc., DPIIT secured over 60 corporate partnerships with firms like Amazon, HDFC, Flipkart, HCL, and WinZO. These partnerships range from funding support and mentoring to joint accelerators and market access programs—especially for Tier-2/3 startups and underrepresented founders.

Startup Policy Forum Launches #100DesiDeepTechs to Spotlight India's Trailblazers

To identify India’s top DeepTech pioneers, the Startup Policy Forum, in collaboration with MeitY, IIT Madras, and TiE, launched #100DesiDeepTechs—a national mission to highlight Indian startups building cutting-edge products in space tech, robotics, quantum computing, defence, and more.

The selected startups will receive curated policy support, global exposure, and access to special funding pools under the new RDI Scheme.

Folium Sensing Wins at IIT-M Sangam for Smart Infra Tech

Chennai-based Folium Sensing won ₹3 lakh at IIT-M’s Sangam 2025 Pitch Fest for its smart fibre-optic monitoring system that prevents bridge collapses and pipeline failures by sending real-time alerts.

Union Minister Piyush Goyal used the event to announce an additional ₹10,000 crore infusion to the Fund of Funds for Startups, showing strong state backing for future-forward technologies.

This Week in Funding: Jumbotail Becomes Unicorn, $290 Mn Raised

A total of 26 startups raised $290 million this week, led by Jumbotail, a B2B grocery platform, which closed a $120 million round, making it the newest unicorn. Other big deals included:

• Infra.Market – $50 Mn

• Eggoz – $20 Mn (agribusiness expansion)

• Zango AI – $15 Mn (generative AI tools)

The momentum signals a rising appetite for scalable, tech-enabled solutions beyond metro markets.

India Emerges as 3rd Highest Fintech-Funded Nation

India recorded $889 million in fintech funding in H1 2025, trailing only the US and UK, and ahead of China and Germany. Bengaluru alone attracted 40% of this investment. M&As also spiked by 45%—with Groww acquiring Fisdom for $150 million being the highlight.

UPES Invests ₹3 Cr in Student Startups at “The Pitch”

Dehradun’s University of Petroleum and Energy Studies (UPES) held its version of Shark Tank—The Pitch—where it invested ₹3 crore across 8 student-led startups in AI, cybersecurity, education, and sustainable energy. This reflects a growing trend of academic institutions becoming incubators for India's next big founders.