Indian startups raise over Rs 13,800 crore in Feb, AI funding grows

IANS March 4, 2025 380 views

India's startup ecosystem continues to demonstrate remarkable resilience and growth in 2024-25. The month of February saw an impressive surge in startup investments, totaling nearly Rs 13,800 crore across various sectors. Artificial Intelligence startups are particularly gaining momentum, with funding increasing by over 50% compared to the previous year. The data underscores India's emerging position as a global innovation and investment destination, with Bengaluru leading the charge as the primary startup hub.

"India has firmly established itself as the third-largest startup ecosystem in the world" - DPIIT Report
Indian startups raise over Rs 13,800 crore in Feb, AI funding grows
New Delhi, March 4: Indian startups raised a total of nearly Rs 13,800 crore ($1.65 billion) in February this year, a 19.5 per cent increase from nearly Rs 11,460 crore ($1.38 billion) in January, according to a new report.

Key Points

1

Indian startups raised Rs 13,800 crore in February

2

AI investments growing over 50% year-on-year

3

Bengaluru leads startup funding landscape

The median valuation of these startups in February 2025 stood at Rs 61,216 crore ($83.2 billion).

Over the course of the 2024-25 financial year, Indian startups collectively raised Rs 21,062 crore ($25.4 billion) across 2,200 funding rounds.

Bengaluru, known as India's startup hub, secured the highest funding in February 2025, raising $353 million, according to data by Traxcn.

The median round size in Bengaluru was $2 million. Mumbai entrepreneurs also saw significant funding, with $102 million raised, but with a higher median round size of $5 million.

In terms of AI startup investments, India has seen a steady rise in funding over the years. The total funding for AI startups in India during 2024 reached $164.9 million, over 50 per cent up from $108.3 million in 2023.

From 2019 to 2025, AI-focused startups in India have continued to secure crucial investments, showcasing India's increasing importance in the global AI ecosystem, according to Traxcn data.

With more than 1.59 lakh startups recognised by the Department for Promotion of Industry and Internal Trade (DPIIT), India has firmly established itself as the third-largest startup ecosystem in the world.

About 21 Indian startups collectively raised approximately $105.87 million last week, with securing funding across different stages. Among them, three startups raised funds at the growth stage, while 16 early-stage startups attracted investments.

In the previous week, nearly 22 startups raised around $184.4 million. On average, in the last eight weeks, startup funding has stood at approximately $317.35 million per week, with around 28 deals taking place weekly.

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