In Short:
India’s Ministry of Electronics and IT emphasizes the need to empower technology startups for independent success rather than just providing grants. Joint Secretary K. K. Singh noted that while startups are good at product development, they need stronger business development support and mentorship. Over the past five years, the government has supported more than 10,000 tech startups with nearly Rs 580 crore in funding. The new LEAP AHEAD program aims to assist startups in scaling and diversifying, offering up to Rs 1 crore in funding and mentorship. The initiative focuses on growth in tech sectors and aims to boost startups in smaller cities.
Empowering Indian Startups: A Shift in Focus Needed
NEW DELHI: In a recent address, a high-ranking official from the Ministry of Electronics and IT (MeitY) emphasized the need for India to pivot from merely issuing grants towards fostering the independence of technology startups.
“While startups shine in product innovation, we must place a stronger emphasis on their business development,” said K. K. Singh, Joint Secretary at MeitY. He believes that with proper mentorship and strategic incubation, innovation can flourish. “Technology has the potential to transform sectors like agriculture, and our focus needs to be on empowering startups to thrive on their own,” he added.
Government Support and Initiatives
Over the past five years, the government has played a significant role in aiding more than 10,000 technology startups through various support schemes. According to data released by the ministry in August 2024, approximately Rs 580 crore has been allocated to startups across different incubators, with MeitY supporting over 3,600 technology startups by disbursing Rs 212 crore.
Introducing LEAP AHEAD 2
The remarks were made during the launch of the second edition of the Software Technology Parks of India (STPI)’s LEAP AHEAD program on Wednesday. This initiative aims to help technology startups by providing avenues in scaling, product diversification, and expanding regionally.
LEAP AHEAD 2 is set to offer financial backing of up to Rs 1 crore, along with a robust three-month mentorship program that includes a blend of virtual and in-person sessions, as stated by STPI.
Highlighting Innovative Opportunities
“STPI creates platforms for tech startups across various sectors, with innovations in MedTech contributing to Defence, and FinTech supporting Agri-Tech advancements. One of the most exciting areas poised for growth is electronic manufacturing, and LEAP AHEAD 2 will zero in on empowering this sector,” noted Arvind Kumar, Director General of STPI. “By fostering new growth opportunities, especially in Tier-2 and Tier-3 cities, we are actively nurturing a vibrant startup ecosystem,” he added.
Launch of Electropreneur Park 2.0
The event also showcased the unveiling of Electropreneur Park 2.0, an innovative collaboration between MeitY and STPI designed to uplift emerging startups in the Electronics System Design & Manufacturing (ESDM) sector.
