Hey Risers
50 issues of India Rising and our first birthday is coming up soon! Wow and thank you for being part of this journey! It’s great to have you here.
Here are the topics of this week:
India's tech startup ecosystem is evolving
The Raisina Dialogue 2026 and the impact of the Iran war on India's economy
German Webasto opens its third production site in India by Q4 2026
And much more.
India Rising Perspective by Zinnov - “Engineering Europe’s Future with India”: We published the first issue of Zinnov’s India Rising Perspective last Friday. “GCC 101: Why European Enterprises Are Choosing to Build Capability in India” kicked off a five-part series by Mohammed Faraz Khan, Partner at Zinnov. Check it out and find my main takeaway at the end.
Learned something? Help someone else and share India Rising with your friends, family and co-workers. Let’s grow our community together and thank you for supporting the Indo-European partnership.
Got feedback? Just hit reply, I’d love to hear from you!
Number of the Week
50
Our 50th issue of India Rising! 50 weekly updates with guest articles and India Rising Perspectives on top. I’m thankful for the opportunity to share this with you and appreciate your continued engagement. More to come and stay tuned!
Rise of the Week: India’s Tech Startup Ecosystem is Evolving
India is a leader in the technology sector and home to a vast ecosystem of established domestic technology firms, Global Capability Centers (GCCs) by businesses from all around the globe, and rising startups. A new startup report “Momentum to Maturity - India’s Startup Ecosystem at a Strategic Inflection Point” by nasscom and Zinnov, with contribution from Maruti Suzuki, offers detailed insights into the latest developments and an outlook on where the ecosystem may be headed.
Source: nasscom, Zinnov - Indian Tech Start-Up Report 2025 (2026)
India's startup ecosystem reflects broader global trends of venture capital backing businesses with AI-led and proven business models, plus focusing on fewer investment opportunities but larger rounds.
The third largest in terms of funding, India’s startup ecosystem has developed more than 130 unicorns (companies with valuations exceeding USD 1 billion), but the distribution remains largely front-loaded. After a drop in 2023, seed and early-stage funding has started to recover whereas late-stage funding remains far off its highs from 2021:
Source: nasscom, Zinnov - Indian Tech Start-Up Report 2025 (2026)
DeepTech is an increasingly important segment, driven by global AI developments and growing public policy support. The table below illustrates the segment's scale and its concentration in AI:
India Startup Ecosystem 2025 | Thereof DeepTech | Thereof AI | |
|---|---|---|---|
Number of startups | 1.216 | 559 | 469 |
Funding USD billion | 9.1 | 2.3 | 2.1 |
The report frames the current moment around three hypotheses:
1) Shift from technological validation to commercial scale:
Most Indian tech startups do not scale successfully, not necessarily because they fail outright, but because they stagnate. The ecosystem's next challenge is bridging the gap between early promise and commercial maturity.
2) Commercial outcomes highly dependent on the quality of incubators and accelerators:
The report provides detailed overviews and actionable steps for market players, including aligning incentives to individual startup outcomes and building structured, multi-stage support pathways. For founders, it offers a framework for evaluating potential investment partners.
Source: nasscom, Zinnov - Indian Tech Start-Up Report 2025 (2026)
The ecosystem has grown 2.3-fold since 2019, reflecting the substantial momentum behind India's startup story.
3) Fragmented capital flows and limited institutional ownership:
The concentration of capital in early stages, combined with limited late-stage funding, creates structural barriers to scale. The report recommends a redesign of institutional capital flows, including coordinated, stage-linked funding mechanisms, to help more startups reach their potential.
For European businesses and investors, these dynamics present both an opportunity and a prompt for reflection. India's startup ecosystem is maturing rapidly, and its structural gaps, particularly around late-stage capital and scaling support, are areas where European institutional investors and corporate venture arms could seek momentum through various vehicles. GCCs for example are already established entry points, so partnering with or investing more in DeepTech and AI-focused startups represent the next frontier. As India's ecosystem shifts from momentum to maturity, European players that engage now more deeply, stand to become integral parts of one of the world's most dynamic innovation ecosystems.
Sources: nasscom, Zinnov
What Else is Rising?
Raisina Dialogue 2026 and the Impact of the Iran War on India’s Economy
The Raisina Dialogue (a high-level gathering on geopolitics and geoeconomics akin to the Munich Security Conference) took place in Delhi from March 5th to 7th. Initiated in 2016, this year’s central theme was "Saṁskāra – Assertion, Accommodation, Advancement" and focused on how nations are asserting their strategic autonomy and sovereignty, accommodating each other through new plurilateral partnerships, and advancing through technological innovation. The forum was overshadowed by the Iran war and its economic impact on India.
The Europeans have now also been taught a lesson by India that passivity is not a strategy… Despite not being part of a formal alliance, India does not isolate itself. Quite the contrary, your power is based on active engagement. A timely example of this is, of course, the EU-India Strategic Partnership.
Hosted by the Observer Research Foundation (ORF) in partnership with India's Ministry of External Affairs, it was inaugurated by Prime Minister Narendra Modi, with Finland’s President Alexander Stubb serving as the Chief Guest, reaffirming the significance of India's growing partnership with the EU. Stubb highlighted the importance of a multilateral world and the partnership between the EU and India. To enhance the alliance between Finland and India, both countries signed an MoU focusing on digital innovation (AI, 6G etc.) and sustainability.
Overall, the following topics were covered during the conference:
Geopolitics & Shifting Power (Contested Frontiers): Examined the transition towards a multipolar world, focusing on ongoing superpower rivalries, emerging security threats, and the rising strategic influence of the Global South.
Global Governance (Repairing the Commons): Addressed the urgent need to reform outdated multilateral institutions (like the UN) and establish cooperative frameworks for shared global spaces, including cyberspace, outer space, and the oceans.
Sustainable Development (White Whale): Assessed the world's lagging progress on the UN's Agenda 2030 (SDGs), focusing on overcoming hurdles related to poverty, economic development, and global food security.
Climate & Security (The Eleventh Hour): Highlighted the overlapping crises of climate change and geopolitical conflict, with a specific emphasis on insulating climate finance from great-power competition.
Technology & Diplomacy (Tomorrowland): Explored the geopolitics of emerging tech, focusing on AI governance, securing critical supply chains (like semiconductors), and utilizing Digital Public Infrastructure (DPI) to aid developing nations.
Global Economy (Trade in the Time of Tariffs): Discussed strategies for building resilient global trade networks and supply chains in an era increasingly defined by protectionism, tariffs, and economic nationalism.
When it comes to trade, the forum was certainly overshadowed by the implications of the Iran war. Several factors are of relevance for India:
Oil trade flows: 40-50% of India’s oil inflows come through the Strait of Hormuz. As the strait is currently severely disrupted and impacted by the war, supplies might remain volatile.
Price hikes: Lower supply already leads to substantial price increases for crude oil, surpassing USD 100 per barrel for the first time in more than 3 years.
Fertiliser and food prices: The fertiliser supply chain depends heavily on the Strait of Hormuz and the Middle East. With spring season and peak demand coming, this leads to additional price hikes that could impact food security.
After recent disputes between the US and India over India acquiring Russian oil, the limitation and sanction was lifted given the supply constraint and as a measure to ease prices.
For European businesses, the Raisina Dialogue sent a clear signal: the EU-India partnership is gaining real structural weight, and the bilateral momentum particularly in digital and green technology is genuine. The Iran war, however, introduces volatility that will test that momentum in the near term. How both sides manage the energy disruption, and the geopolitical complexity that comes with it, will determine how quickly the partnership's promise translates into practice.
Sources: Raisina, Lokmattimes, The Economic Times
German Webasto Will Open Third Production Site in India by Q4 2026
The German automotive supplier Webasto operates two manufacturing sites in India and just announced its third manufacturing plant to go live in Delhi later this year. Due to increasing demand for Webasto’s sunroof systems, the plant will support the domestic automotive ecosystem and complete the company’s strategy in India.
Our investment in a third Indian production site underscores how essential the market has become to Webasto’s global operations. India is playing a pivotal role in shaping the future of mobility, and we are proud to be part of this momentum.
Once operational, the Delhi plant will be integrated with existing locations in Pune and Chennai, giving Webasto nationwide coverage across all major automotive hubs. The new site will reach a capacity of 500,000 annual units, further cementing the company's commitment to the Indian market.
Webasto’s financial trajectory since 2019 is telling:
Investments to date: EUR 110 million for the expansion of its Indian business
Total investments targeted by 2030: EUR 174 million
Webasto's approach offers two clear lessons for European businesses looking to succeed in India: long-term vision and sustained domestic investment. Rather than treating India as a peripheral market, Webasto has consistently deepened its footprint. If the company moves towards integrating its Indian operations into global supply chains, that early commitment could increase competitiveness in other regions as well.
For European businesses watching from the sidelines, Webasto's trajectory is a useful benchmark. Success in India rarely comes quickly, but companies that invest in local manufacturing capacity and commit to the market are increasingly well-placed as India's economy scales.
Sources: Webasto, The Economic Times
Quick Risers
The construction of three seaports in Andhra Pradesh to be completed in 2026. (Source: The Hindu)
India plans to teach 85.000 semiconductor designers in 315 academic institutions over the next 10 years. (Source: Times of India)
Japanese firms see India as most promising market and Japanese Mizuho Bank wants to build out the Indo-Japanease corridor. (Source: The Economic Times)
Luxembourg wants its firms to invest in India’s infrastructure and green developments, as well as asks Indian financial institutions to use Luxembourg as base to enter Europe. (Source: The Economic Times)
India bets on AI data centers and wants to attract global capital. (Source: DW)
TCS in advanced talks with hyperscalers such as Google to build AI data centres in India. (Source: IndianWeb2)
New company registrations surge to 24,136 in February, an increase of 37% year-over-year. (Source: LiveMint)
Spotlight: The World Economic Forum on How India Can Thrive in the Intelligence Age
The WEF on what makes India’s approach of technology as public good special.
Curiosity Corner
Your random facts and stories about India and the Indo-European friendship.
This week: The importance of Cricket and India’s milestone
Originating in 16th-century England, cricket has grown into a global phenomenon that closely mirrors the cultural and economic footprint of association football in Europe. Just as the UEFA Champions League or the FIFA World Cup brings entire nations to a standstill, major cricket tournaments command staggering audiences, with marquee matches routinely drawing upwards of 400 million television viewers worldwide. For regions like South Asia, cricket functions as a shared cultural anchor and a multi-billion-dollar industry that unites diverse populations and shapes national identity on a massive scale.
This immense cultural weight was on full display yesterday when India secured the T20 World Cup title. The victory established a historic milestone, making India the first nation to win the championship three times in a row. Analytically, a streak of this magnitude—much like a European football dynasty winning consecutive Champions League trophies—is rarely a product of chance. Instead, it reflects India's highly effective youth development programs, strategic financial investment, and consistent performance under pressure, cementing the country's central role in the future of international cricket.
Enjoyed this issue? Share India Rising with your network.
Whenever you’re ready, here are 3 ways I can help you:
1. Real Estate Services
Whether you're optimising a corporate real estate portfolio, leading a development project, or plan a transaction, I can help you. I support and advise clients on a fractional, interim, or project basis to de-risk and deliver tangible results.
2. Market Entry India & Emerging Markets
As Strategic Advisor to Zinnov, a leading consultancy for globalisation in Tech, I help you set up your organisation’s GCC in India and Emerging Markets.
3. Collaborations & Promotions
I’m a proponent of ecosystems and partnership networks. Whether it’s collaborating on a project, participating in your event or promoting ideas: just reply to this email.
You can’t get enough or want to catch up on past editions? Follow the link!
