India's deeptech market is poised for substantial expansion, with projections indicating a market opportunity of $30 billion by 2030. A recent report by Redseer Strategy Consultants highlights that this growth will be propelled by increased defense innovation and the rise of global robotics.
The deeptech sector in India has already demonstrated significant growth, increasing 2.5 times in the past five years. This trajectory is expected to continue, establishing India as a trusted, low-cost hub outside of China. The country's deeptech base, estimated at $9-12 billion in FY2025, is being driven forward by spending in defense and global robotics.
India has seen a considerable shift in spending toward defense deeptech, with the national defense budget doubling over the last decade to $80 billion. This expansion rate surpasses top global spenders like the US and China during the same period.
Several factors contribute to India's growing deeptech capabilities. These include advances in areas like artificial intelligence, green hydrogen, space technology, and biotechnology. Furthermore, government initiatives such as the National Deep Tech Startup Policy and support programs through the Biotechnology Industry Research Assistance Council (BIRAC) are providing essential support to the sector. Premier institutions like IITs and IISc also play a vital role in transforming research into commercial technologies.
The global robotic machines market is currently valued at $60 billion and is expected to reach nearly $230 billion by 2030. Humanoids represent a breakout category with an estimated $10 billion opportunity within the same timeframe.
To fully realize its potential in the deeptech space, India needs to address certain challenges. These include high capital requirements, technology validation hurdles, and market adoption risks. Recommendations for overcoming these challenges include building diverse teams, strengthening intellectual property portfolios, and exploring alternative funding models.
With its unique combination of factors, including a strong talent pool, supportive government policies, and increasing investment, India is well-positioned to become a global leader in deeptech. The projected growth of the deeptech market to $30 billion by 2030 underscores the significant opportunities for innovation and economic development in this sector.
