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Indian startup ecosystem reshaped in 2025 with structural shifts
Indian startups saw a structural reset in 2025 as profitability focus, IPO momentum, and AI adoption reshaped growth strategies, setting the stage for more disciplined expansion and execution-driven outcomes in 2026.
The Indian startup ecosystem underwent meaningful change in 2025, driven by a sharp focus on profitability, renewed IPO activity, and deeper adoption of AI-led business models. Funding became more selective, pushing startups toward sustainable revenue and cost discipline. Policy clarity, public market listings, and enterprise-led demand helped strengthen business fundamentals. Heading into 2026, startups are expected to prioritise execution quality, scalable unit economics, and steady capital deployment.