The Department of Telecommunications (DoT) has introduced a Shark Tank-like system to help startups connect with venture capitalists for funding. The government is supporting companies in the field of next-generation technology segments like AI, 5G-enabled drones, cybersecurity, and more. The new initiative has been taken under India’s long-term vision to create more opportunities for indigenous startups.
Just like the popular TV show Shark Tank India, the government is acting as a mediator between companies and VCs. In a recent meeting organized by the DoT, over 25 startups pitched their businesses to VCs from India, the United Kingdom, and Uganda. Currently, funding talks are in the advanced stage for some companies, while discussions are ongoing for others.
The Government of India is trying to develop a self-sufficient ecosystem for technology companies, which will range from R&D and design to final production and manufacturing. It also has a special telecom technology development fund (TTDF) to help companies in the field of telecommunications.
India is one of the fastest-growing technology markets in the world. Companies like Reliance Jio have created world records for the fastest rollout of 5G networks in a country. The next big aim in this segment is to locally develop the equipment needed for the telecom sector, which is currently being imported or co-engineered with foreign entities.
The PLI scheme from the government is also encouraging global companies to shift their manufacturing hubs to India. Smartphone brands have so far benefited quite well from this scheme. Companies like Xiaomi and Samsung produce a big chunk of their smartphones locally in India, which are also exported to overseas markets.
The new initiative from the government to help startups connect with VCs is expected to provide a boost to the startup ecosystem in the country. Over the last decade, India has produced over 100 unicorn startups that include the big names of Flipkart, Ola, Swiggy, Lenskart, Paytm, and many others. Projects like the GIFT City in Gujarat are also attracting global companies to set up their headquarters in India.
