By Startup Story Team
A Major Policy Push for DeepTech Innovation:
In a significant move to strengthen India’s deeptech and innovation capabilities, the Union Cabinet has given the green light to a massive ₹1 lakh crore research and development (R&D) corpus. This strategic step aims to make India self-reliant in critical emerging technologies such as Artificial Intelligence (AI), semiconductors, quantum computing, and robotics – all of which are key to shaping the country’s future technological landscape.
The new fund will support high-risk, high-reward research that is often left underfunded due to the long gestation period and uncertain returns associated with deeptech projects. The focus is to bridge the gap between academic research and commercial application by supporting startups, universities, and private R&D players.
PM Modi’s Vision for Future-Ready India:
Announcing the decision, Union Minister Ashwini Vaishnaw said that the ₹1 lakh crore corpus was a part of Prime Minister Narendra Modi’s broader vision of making India “future-ready” in science and technology. This fund will particularly target the development of indigenous solutions for strategic sectors, aiming to reduce India’s dependence on foreign technology in critical domains.
This corpus will be deployed over a span of five years and is expected to give a significant boost to India’s long-term innovation capacity.
Key Focus Areas of the R&D Fund:
The fund will be primarily directed towards:
- DeepTech startups working in AI, quantum tech, semiconductors, and space tech
- Strategic R&D institutions and research labs
- Public-private research partnerships
- Commercialisation of indigenous technologies
It is designed to provide both equity and grant-based funding, and will promote risk-taking in advanced research areas where traditional VC or government schemes have typically hesitated to invest.
Boost to Startup Ecosystem and Academia:
This decision comes as a huge morale booster for India’s startup ecosystem, particularly the DeepTech sector which has been growing steadily but lacks sufficient funding support. Startups working on futuristic solutions will now have access to structured funding to scale their innovations.
Academic institutions and researchers will also benefit, with greater access to funds that allow them to experiment with cutting-edge ideas without financial constraints. The move is expected to encourage more collaboration between academia and industry.
Global Strategic Relevance:
This initiative gains even more importance in the backdrop of increasing global competition in areas like semiconductor design, quantum computing, and AI. Countries such as the US, China, and those in the EU have already made large-scale investments in DeepTech, and this corpus helps India step into that league.
By enabling Indian startups and researchers to build indigenous alternatives, the government also aims to counter potential security threats and reduce supply-chain vulnerabilities in sensitive technologies.
Industry Reaction: A Welcome Move.
The tech and startup industry has widely welcomed the move. Many founders, VCs, and tech leaders see this as a timely intervention that could change the trajectory of India’s innovation economy. It also aligns with other government initiatives such as Startup India, Digital India, and Make in India.
This fund could potentially create thousands of new IPs, patents, and globally competitive tech products from Indian soil.
