A recent survey conducted by INC42 indicates that investors are bullish about the expansion of India’s booming startup ecosystem across new regions. The survey projected Pune, Hyderabad, Chennai, Jaipur and Ahmedabad as the cities most poised to emerge as the next major hubs.
Several findings from the first half of 2024 bring credence to this prediction. Chennai-based startups secured the largest funding amount of $250 million during this period. Following closely was Pune with $241 million raised through 18 deals. Notable transactions included Fibe’s $90 million round and Rebel Foods’ $13 million debt financing.
Hyderabad also displayed strong momentum, seeing over $210 million invested across 26 startups in H1 2024. Meanwhile, Ahmedabad and Jaipur attracted $62 million and $47 million respectively for local ventures.
Significantly, each of these emerging hubs outpaced their entire 2023 performance just within the first two quarters of the current year. For instance, Chennai raised $211 million in total deals last year compared to $250 million in the first half of 2024 alone. A similar trend held for Pune, Hyderabad, Ahmedabad and Jaipur over the same comparative timeframes.
While overall startup funding slowed marginally during this period, these cities demonstrate growing investor confidence beyond traditional hotbeds. As the Indian startup landscape expands deeper into diverse regions, their rising role bears close observation. The future remains promising as ambition and opportunity continue spreading across the country.
