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Indian Startup CEO Sparks Debate Over Funding Priorities And Deeptech Struggle
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Moneycontrol•18-10-2026, 10:19
Indian Startup CEO Sparks Debate Over Funding Priorities And Deeptech Struggle
- •Dhananjay Yadav, co-founder and CEO of Neosapien, criticized investors for pouring large sums into consumer startups while deeptech firms struggle for capital.
- •Yadav highlighted that househelp startups burn heavy cash for market share, whereas deeptech ventures generate higher revenue with lower cash burn.
- •The debate underscores a fundamental weakness in India's startup ecosystem regarding long-term technological innovation compared to the US.
- •Industry observers noted that traditional venture capital firms are often not structured to support long-term deeptech horizons.
- •Experts suggested that traditional Indian business houses and stronger national commitment could help bridge the critical funding gap for future technologies.
Key Questions Answered
Dhananjay Yadav criticized investors for pouring large sums of capital into consumer-facing businesses and househelp startups while deeptech firms struggle to raise funds.
Conventional venture capital firms are often not structured to accommodate the longer investment horizons required by deeptech businesses for research, development, and commercialization.
Ashutosh Singh criticized Shark Tank India for pushing young founders toward D2C consumer brands like shampoo, snacks, and cosmetics rather than supporting innovation-led deeptech ventures.
