Startup Spotlight: RBI Clearances, Space-Tech Milestones, AI Push, Big Layoffs & IPO Momentum

India’s startup ecosystem is in one of its most defining phases — shaped not just by fundraising spurts or unicorn valuations, but by sweeping regulatory calls, bold bets in AI, high-stakes courtroom battles, and a renewed push into space and deep tech. This week perfectly captured that energy.

Fintech found long-awaited clarity, gaming took another hit from the legal and policy front, space-tech signalled its next big leap, and global tech giants recalibrated their India playbooks. Meanwhile, AI-focused programmes, IPO-bound enterprises and massive talent shifts continued to underline how fast India’s new-age economy is evolving.

From RBI’s pivotal approvals and high court rulings to Apple’s legal challenge, Google’s AI accelerator, layoffs in the gaming sector, and Skyroot’s orbital dreams — the week brought a mix of disruption, acceleration, pressure and promise.

Here’s your detailed roundup of everything that moved the startup world over the past seven days.

Top Startup News

Paytm Payments Services Finally Gets RBI’s Payment Aggregator Licence

Fintech major Paytm Payments Services Ltd (PPSL) has secured the Reserve Bank of India’s full authorisation to operate as a Payment Aggregator — a long-awaited compliance milestone.

The approval follows three months after its in-principle nod, and comes shortly after Paytm’s board cleared a ₹2,250 crore rights issue aimed at strengthening PPSL’s net worth.

The licence ensures business continuity for merchants relying on Paytm’s payment gateway and marks an important regulatory win for the company in a year filled with scrutiny and compliance challenges.

Delhi High Court Says Betting Assets Are “Proceeds of Crime”

In a precedent-setting decision, the Delhi High Court has ruled that assets linked to online cricket betting platforms can be seized by the Enforcement Directorate, even though betting itself is not a scheduled offence under the PMLA.

The ruling comes on the heels of ED’s aggressive actions — including freezing over ₹500 crore worth of assets tied to companies like WinZO, Gameskraft and Pocket52. The agency is also probing celebrity payments routed through offshore betting apps such as Parimatch, FairPlay, Lotus365 and A23.

This verdict could reshape the compliance, taxation and enforcement landscape for India’s entire online gaming industry.

Dream11 Parent Open-Sources Its Core Infrastructure Stack

In a major contribution to the developer ecosystem, Dream Sports — the parent company of Dream11 — has open-sourced HorizonOS, its in-house technology framework that supports real-time gaming at massive scale.

HorizonOS offers modular building blocks for developers to build, test and deploy applications faster. This is one of the largest open-source contributions by an Indian unicorn.

Dream Sports has previously contributed to technologies like ReactNative, Kong and Vert.X. The move comes at a time when India’s $12 billion real-money gaming ecosystem is reeling from the government’s ban on RMG formats.

Junglee Games Lays Off 350 Employees Amid Gaming Ban Fallout

The shockwaves from the Online Gaming Ban (Promotion & Regulation of Online Gaming Act, 2025) continue to reshape the sector.

Flutter Entertainment–owned Junglee Games has laid off 350 employees across Delhi and Bengaluru. Another 600 employees are being redeployed to Flutter’s Hyderabad Global Capability Centre or shifted to support its free-to-play business.

Earlier, the company shut down Junglee Rummy — once a flagship RMG product. This marks one of the largest reorganisations in the gaming sector following the ban.

PM Modi to Unveil Skyroot’s First Orbital Rocket – Vikram-I

India’s space-tech momentum continues to surge.

Prime Minister Narendra Modi is set to virtually unveil Skyroot Aerospace’s first orbital-class rocket, Vikram-I. The Hyderabad-based startup will also inaugurate a massive 2 lakh sq. ft manufacturing facility capable of building one orbital rocket every month — a staggering capacity ramp-up for a private Indian space-tech company.

Skyroot, founded in 2018, became the first private Indian company (and South Asia’s first) to launch a rocket into space. Vikram-I now moves closer to its maiden orbital mission.

Apple Challenges India’s New Antitrust Penalty Rules

Apple has filed a petition in the Delhi High Court challenging amendments to Section 27(b) of the Competition Act — changes that allow the Competition Commission of India (CCI) to impose penalties based on global turnover.

This follows the 2021 antitrust probe into Apple’s App Store practices and in-app payment policies. The outcome could significantly influence how Big Tech is regulated and fined in India going forward.

Salesforce India Posts ₹13,140 Cr Revenue; Doubles Down on AI Talent

Cloud and SaaS giant Salesforce reported a robust 46% YoY jump in its India operating revenue, crossing ₹13,140.6 crore for FY25.

The company is now deepening its focus on AI-driven enterprise solutions — hiring AI trainers, forward-deployed engineers, and platform specialists. With 14,000 employees, India is now Salesforce’s second-largest workforce hub globally.

This growth signals India’s rising importance in global AI and enterprise-tech leadership.

Google & Accel Launch India AI Cohort Under Atoms Programme

In a major boost for early-stage AI innovation, Google’s AI Future Fund has partnered with Accel’s Atoms pre-seed programme to launch a dedicated India AI cohort.

Selected startups will receive:

• Up to $2 million in investment

• $350,000 in Google Cloud and platform credits

• A three-month specialised programme focused on productivity, software engineering, creativity, entertainment and other AI-first use cases

This collaboration aims to catalyse India’s next wave of AI-native startups.

Foreign Investors Sell Paytm Shares Worth ₹1,741 Cr

BNP Paribas Financial Markets and Integrated Core Strategies sold ₹1,740.8 crore worth of Paytm shares this week. The offloading follows Elevation Capital’s sale of 1.19 crore shares worth ₹1,556 crore last week.

Despite the continuous stake trimming, Paytm’s stock remains up 23% year-to-date, supported by strong revenue growth and Q2 FY26 profitability.

Fractal Analytics, Amagi, & Sahajanand Medical Tech Get SEBI’s IPO Green Light

SEBI has approved IPO plans for three major companies — Fractal Analytics, Amagi Media Labs, and Sahajanand Medical Technologies — injecting fresh energy into India’s late-2025 IPO pipeline.

• Fractal Analytics: Eyeing a ₹4,900 crore IPO; proceeds will fund global expansion, R&D, and acquisitions.

• Amagi: Preparing a ₹1,020 crore fresh issue plus a large OFS to strengthen cloud infrastructure and support inorganic growth.

• Sahajanand Medical Technologies: Cleared for an OFS-only IPO of 2.76 crore shares.

The approvals signal renewed confidence in India’s tech, SaaS and med-tech listing prospects.

From regulatory breakthroughs and gaming industry turbulence to AI accelerators and space-tech ambition, India’s startup landscape continues to evolve at high speed. Stay tuned for next week’s definitive roundup of everything shaping the ecosystem.