Bengaluru Regains The Crown Of India’s Top Startup Hub |
After two years of correction and recalibration, 2025 marked a year of stabilisation for India’s startup funding ecosystem. According to Inc42’s “Annual Indian Startup Trends Report, 2025”, Indian startups raised about $11 Bn across 936 deals, led by startups based in Bengaluru.
Though overall funding was down 8% YoY from 2024, it was higher than the $10 Bn raised in 2023, highlighting that private capital flows have settled into a new, more disciplined normal.
Even as overall funding stayed muted compared to the 2021–22 peak, capital increasingly concentrated around clearer revenue models, late stage resilience and selective growth stage bets, alongside a parallel IPO boom that saw 18 startups tap public markets during the year.
Against this backdrop of consolidation rather than exuberance, funding activity continued to cluster around India’s top startup hubs.
Bengaluru, Delhi NCR and Mumbai together accounted for the bulk of the $11 Bn raised in 2025, reflecting investor preference for proven startup ecosystems. However, the data also points to a growing divergence in how each hub is evolving.
Bengaluru continued to display depth-driven resilience, supported by mature tech talent and repeat founders. Delhi NCR, meanwhile, stood out for its deal activity and sharper focus on exits. Mumbai charted a steadier path, with capital flowing consistently into enterprise tech and fintech.
Access Free ReportBengaluru Funding Regains Momentum
Bengaluru startups raised $4.6 Bn across nearly 300 funding deals in........