Bengaluru has once again been successful in holding on to its title of “The IT Capital” of India.
As per new research released at the London Tech Week, Bengaluru along with Delhi and Mumbai are making a huge mark on the global startup market. Not just these tier-1 cities, but states such as Telangana and Kerala too have been active and thriving in the startup space.
Startup Genome, a separate Global Startup Ecosystem stated that the Asian sector which was once dominated by the likes of Singapore, Hong Kong, Beijing, and Korea is now being thrown into disarray by Bengaluru, Mumbai, and Delhi. Mumbai ranked at No.36 in the global startup ecosystem index while Delhi moved up a grand 11 places to come in at No.26. It was Bengaluru however that ranked the highest among these cities coming in at No.22. It was able to do so due to the improvements made in its market research and access to funding.
Research available from Dealroom.Co for London & Partners London’s business growth agency showed that Bengaluru is leading amongst all Asian cities and is the fifth-ranked hub in the world for venture capital (VC) investment in 2022. This comes as a sigh of relief for the startup space as a few days ago there was news about Indian startups laying off thousands of employees.
“It’s fantastic to see startup growth across the whole of India as this creates lots of opportunities for collaboration with London.”Hemin Bharucha, the Director of India for London and Partners.
According to reports, Bengaluru in 2021 left behind both Bejing and Shanghai in the amount of venture capital raised and the number of rounds. The Indian city is also quite famously known for being the home to the Research and Development centers of some of the world’s largest companies. The investment research report also revealed that Bengaluru’s tech firms have raised $7.5 billion in VC funding in the first five months of this year. A number considerably higher than the previous record of $5.2 billion in the first six months of 2021.
The Global Startup Ecosystem report also made sure to highlight the strong foothold of Bengaluru as the tech capital of India, with an eco-system valued at $105 billion higher than Singapore ($89 billion) and Tokyo ($62 billion). The reason for Bengaluru’s humongous growth in 2022 is largely linked to the major funding rounds they had in 2022 for scale-up tech companies, including Swiggy’s $700 million round in January.
London Tech Week is the UK’s flagship event that brings 20,000+ global government and corporate leaders, inspirational start-up founders, senior investors, and rising stars in tech together to discuss the power of technology for societies.