Top Startup News Today: AI, Deeptech, and EVs Drive Innovation | Oct 10, 2025

India’s startup ecosystem is on a fast track, with innovation, funding, and strategic expansions making headlines every day. From traditional family-run businesses reinventing themselves for modern lifestyles to deeptech startups transforming manufacturing, today’s developments offer a glimpse into the diverse directions Indian entrepreneurship is taking. Here’s a detailed look at the most significant stories shaping the Indian startup landscape. 

Top Startup News Today

From Puja Rooms to Lifestyle Fragrances: IRIS is Redefining Indian Homes

In 1948, N Ranga Rao started selling incense sticks in Mysuru under the iconic Cycle Pure Agarbathi brand. What began as a small family business quickly became a ritual essential across Indian homes. Decades later, the company’s legacy is being carried forward by the third generation: cousins Arjun, Anirudh, Kiran, Vishnu, and Pavan Ranga.

Among them, Kiran Ranga, managing director of IRIS Home Fragrances, is leading a transformation—moving fragrance beyond traditional rituals into the domain of lifestyle and wellness. “Cycle was already reaching millions of households,” he notes. “But as homes evolved with air-conditioning, new décor trends, and growing wellness consciousness, we saw an opportunity to extend fragrance into everyday living spaces.”

IRIS Home Fragrances now creates experiences tailored to mood, wellness, and modern décor preferences, proving that heritage brands can innovate while staying true to their roots.

Global Capability Centres Expand Beyond US: India’s GCC Landscape Diversifies

While US-based companies have historically dominated India’s Global Capability Centre (GCC) ecosystem, firms from the UK, Europe, Middle East & Africa (EMEA), and Asia-Pacific (APAC) regions are steadily expanding their footprint.

According to Colliers, a real estate investment advisory firm, about 10% of the estimated 28 million sq.ft of office space uptake by GCCs in 2025 will come from non-US global corporates, particularly from APAC countries like Japan, Australia, and Singapore. US firms continue to lead, accounting for nearly 70% of total absorption in the top seven cities since 2021. The trend reflects the increasing internationalization of India’s IT and business services, showing that the country is becoming a preferred destination for diverse global talent and operations.

Gen Z and Co-Branded Credit Cards: A New Era in Online Spending

Credit card usage is evolving, driven by Gen Z shoppers seeking rewards, convenience, and financial independence. Co-branded credit cards linked to e-commerce platforms now account for 65% of users, according to the How Urban India Pays report presented at the Global Fintech Fest 2025.

This trend signals not only a shift in spending habits but also a broader adoption of formal credit in India. Younger consumers are experimenting with financial products earlier, marking a generational shift toward planning, experimentation, and digital-first financial solutions.

Funding Spotlight: Aavishkaar, Hala Mobility, UGX.ai, and Reo.Dev

• Aavishkaar Group + Jamwant Ventures: Rs 500 Cr Defence & Deeptech Fund
  Aavishkaar Capital’s OneAavishkaar platform has partnered with Jamwant Ventures to launch a Rs 500 crore fund targeting defence and deeptech startups. Jamwant Ventures, founded by former Indian Navy officers Navneet Kushik and Kartik Gopal, focuses on ventures that require deep domain understanding of military operations. Previous investments include Spacefields, Axial Aero, and AstraYAN.

• Hala Mobility Raises Rs 30 Cr for EV Fleet Expansion
  Through its Hala+ FOCO model (Franchise Owned, Company Operated), Hala Mobility has deployed 2,400 of a planned 6,000 EVs across cities in six months. The model empowers Self-Help Groups and micro-entrepreneurs, providing vehicles, charging, financing, insurance, and analytics. Every Rs 1 crore invested generates 200+ jobs and offsets ~400 tons of CO₂ annually. The company plans to expand into new cities, integrating operations, financing, and EV recycling.

• UGX.ai Raises $1M to Transform Manufacturing
  Deeptech startup UGX.ai, founded by IIT BHU and ISB alumni, secured $1 million in seed funding to scale its Smart MES (Manufacturing Execution System) solutions. Its platform connects hardware, middleware, and software for better manufacturing efficiency, monitoring, and traceability. With 5x growth in two years, UGX.ai works with 20+ enterprise clients in automotive and electronics sectors.

• Reo.Dev Raises $4M Seed for Developer Intent Platform
  Reo.Dev interprets developer signals from GitHub, package installs, and documentation usage to provide insights for sales, marketing, and revenue teams. The seed round, led by Heavybit, will fund workforce expansion, US office setup, and product development. The platform has already gained traction with 100+ developer-first companies and recorded 10x annual scale.

Other Notable Updates

• PayU Finance + Swiggy: Embedded Credit for Restaurants
  Restaurants can now access unsecured loans up to Rs 25 lakh through Swiggy’s Partner app, easing cash flow management with weekly installments linked to payouts.

• Phi Commerce Launches AI-Powered Fraud Detection ‘Phi-ter’
  India’s first enterprise-grade real-time fraud detection platform uses AI to block suspicious transactions in milliseconds, addressing 3.6M incidents and losses exceeding Rs 22,800 crore reported in 2024.

• Wingify Appoints Aarthi Ramamurthy to Board
  With 15+ years in product leadership, Ramamurthy will guide Wingify’s AI-led strategy for its VWO platform, used by 3,000+ global brands.

• IG Drones Partners with UP Government
  IG Drones will mass-produce 100,000 armoured FPV Striker drones annually at a new R&D and manufacturing facility in the UP Defence Corridor, supporting India’s push for indigenous defence tech.

The Takeaway

India’s startup ecosystem is showcasing a remarkable blend of heritage innovation, deeptech disruption, and sustainable mobility solutions. From Gen Z shaping fintech habits to veteran-led defence funds and AI-driven manufacturing solutions, the entrepreneurial spirit is pushing the country toward global competitiveness and technological self-reliance.

Every sector—whether EVs, AI, fintech, or lifestyle products—is witnessing a new wave of ambition, collaboration, and innovation, making it an exciting time for investors, entrepreneurs, and consumers alike.

About Top Startup News Today

TICE’s Top Startup News Today delivers daily insights on India’s startups and global innovation. Covering IPOs, AI, fintech, mobility, and funding, we provide verified, context-rich updates that show not just what’s happening, but why it matters.

Disclaimer: Curated from trusted sources; contact editorial@tice.news for corrections.