India’s $25-Billion Deep-Tech Push: A New Bet on AI, Chips and Drones

India is preparing a $25-billion funding pool for deep-tech startups, aiming to strengthen domestic capabilities in advanced technologies and reduce dependence on foreign technology. The proposed pool is expected to support sectors such as artificial intelligence, semiconductors, advanced manufacturing, drones and space technology.

The proposal comes as India looks to expand its position in the global deep-tech ecosystem. According to the IVCA-Venture Intelligence Bharat DeepTech Report 2026, Indian deep-tech companies attracted about $11.4 billion in private-equity and venture-capital funding across 957 deals between 2015 and July 2026. AI and generative AI received the largest share, attracting around $2.88 billion during the period.

The proposed pool would combine government support with private capital. A government-backed Research, Development and Innovation (RDI) Fund has a ₹1 lakh crore corpus, with financing aimed at high-risk and high-impact technologies.

However, funding implementation remains important. The Technology Development Board said on October 1 that it had paused fresh RDI applications temporarily while processing a backlog of more than 230 proposals.

Note: $25 billion is roughly ₹2 lakh crore-plus, not ₹25,000 crore. So the headline should preferably say “$25-Billion Deep-Tech Proposal” for accuracy.