Deeptech's Big Break: Startup India Sops Turn R&D Dreams into Revenue Streams

Policy Overhaul  
The February 6 gazette notification defines deeptech as firms developing novel technologies. Unlike regular startups' 10-year or Rs 200 crore cap, deeptech gets 20 years for loss carry-forward, aiding R&D cycles of 7-10 years. Founders hail it for enabling sustained capital without short-term pressures.

Investor Boost  
Venture firms like Speciale Invest and Endiya Partners note it aligns with 12-15 year fund lifecycles, boosting India's deeptech appeal. 2025 saw $1.6 billion raised, up 12%; early 2026 funding to Unbox Robotics and JJG Aero continues momentum. Complements Rs 1 lakh crore R&D fund and Fund of Funds.

Key Highlights  

• Deeptech: 20-year benefits vs 10 for others; turnover cap Rs 300 crore  
• Tax holiday, collateral-free loans, 80% patent fee cuts included  
• Targets AI, biotech, climate tech, spacetech, semiconductors  
• Addresses long timelines, high uncertainty in deeptech  
• 2025 funding: $1.6B; policy signals IP-driven global push

Sources: Economic Times, Moneycontrol