Govt Aims to Support Deep-Tech Startups as They Grow: IIT Madras Director
On February 6, 2026, Professor V. Kamakoti, the Director of IIT Madras, announced that the Indian government is committed to supporting deep-tech startups as they progress in their developmental journey. This statement comes in light of the government’s recent initiative to redefine the framework of the Startup India program, which now includes deep technology firms as a distinct sub-category.
Understanding Deep-Tech Startups
Deep-tech startups are characterized by their focus on advanced technology and innovation. These companies often engage in high research and development activities, leading to the creation of cutting-edge products and solutions. According to Kamakoti, deep-tech startups typically receive various forms of funding, including seed funding and angel investments, and they are in the process of developing prototypes that are nearing the highest level of technology readiness, known as TRL 9.
What is TRL 9?
Technology Readiness Level (TRL) is a method for estimating the maturity of technologies during the acquisition phase of a program. TRL 9 signifies that a technology has been fully proven and qualified through successful operations, such as in space missions or full-scale commercial deployment. Achieving TRL 9 is a significant milestone for any deep-tech startup, indicating that their technology is ready for the market.
Government Initiatives to Support Deep-Tech Startups
The Indian government has recognized the unique challenges faced by deep-tech startups, including long gestation periods and high capital requirements. To address these challenges, the government has expanded the eligibility criteria for deep-tech startups under the Startup India initiative:
- The age limit for startups has been extended from 10 years to 20 years from the date of incorporation or registration.
- The turnover limit for deep-tech startups has been increased to Rs 300 crore.
- The turnover limit for general startup recognition has been raised from Rs 100 crore to Rs 200 crore.
These changes aim to accommodate the evolving startup ecosystem and provide support to enterprises at various stages of their business lifecycle.
Inclusion of Cooperative Entities
In a significant move to promote grassroots innovation, the government has also extended startup recognition eligibility to cooperative entities. This initiative is designed to encourage innovation-driven growth in sectors such as agriculture, rural industries, and community-based enterprises. The following types of cooperatives are now eligible for startup recognition:
- Multi-State Cooperative Societies registered under the Multi-State Cooperative Societies Act, 2002.
- Cooperative Societies registered under state and Union Territory Cooperative Acts.
Impact on the Startup Ecosystem
The inclusion of deep-tech startups and cooperative entities in the Startup India framework is expected to have a transformative impact on the Indian startup ecosystem. By providing additional support and resources, the government aims to foster innovation and entrepreneurship across various sectors.
Benefits of the Revised Guidelines
The revised guidelines are anticipated to yield several benefits:
- Increased Funding Opportunities: With the expanded eligibility criteria, more startups can access funding from government schemes and private investors.
- Enhanced Innovation: By supporting deep-tech startups, the government is promoting the development of advanced technologies that can address pressing societal challenges.
- Growth of Cooperative Enterprises: Recognizing cooperatives as startups encourages collaboration and innovation at the grassroots level, empowering local communities.
Challenges Ahead
Despite these positive developments, deep-tech startups still face numerous challenges. The high costs associated with research and development, along with the lengthy timelines required to bring products to market, can hinder growth. Additionally, startups may struggle with securing continuous funding as they transition from prototype development to commercialization.
Conclusion
In summary, the Indian government’s initiative to support deep-tech startups is a significant step towards fostering innovation and entrepreneurship in the country. By expanding the definition of startups and providing tailored support for deep-tech and cooperative entities, the government is laying the groundwork for a more robust and diverse startup ecosystem. As these changes take effect, it will be crucial for stakeholders, including entrepreneurs, investors, and policymakers, to collaborate and navigate the challenges ahead to realize the full potential of India’s deep-tech landscape.
Note: This article is based on information available as of February 2026 and aims to provide insights into the government’s initiatives to support deep-tech startups.
