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Karnataka’s 2025 Funding Trends Point to Tougher Road Ahead for Startups
Karnataka’s startup funding slowed in 2025 as investors prioritised profitability and selectivity, signalling a more disciplined investment climate ahead.
Funding activity in Karnataka’s startup ecosystem showed signs of moderation in 2025, with investors becoming more selective amid macroeconomic pressures and a recalibration of valuations. While early stage deals continued, the overall funding pace declined compared with prior years, prompting founders to emphasise unit economics and sustainable growth metrics. Startups focusing on clear revenue models and market differentiation may fare better as capital becomes more disciplined