In 2025, India’s startup ecosystem is at a crossroads. Private equity investment in enterprise SaaS jumped 66%, hitting $1.38 billion in just seven months - far beyond 2024’s full-year total - highlighting investor confidence in B2B innovation . Seed-stage investor Speciale Invest plans to pour ₹600 crore into deep-tech startups like AI, space tech, and climate tech by 2029 . Meanwhile, emerging soonicorns - AI-first ventures eyeing unicorn status - garner attention at flagship gatherings like the ET Soonicorns Summit .

However, the ecosystem isn’t without its headwinds. Overall venture capital funding dropped ~24%, from $14.4 billion to $10.9 billion by August 2025, while funding slipped 22% to $3.8 billion amid economic pressures . Chief investor bodies warn of startups being offloaded at 30–40% discounts, spotlighting concerning valuation corrections . Infrastructure strain in Bengaluru - India’s tech hub - further complicates growth, signaling a need for smarter urban planning.