A seasoned semiconductor startup founder has penned a scathing open letter to Commerce Minister Piyush Goyal, slamming systemic inefficiencies that stifle deep-tech innovation in India. His response came after Goyal accused startups of prioritizing delivery apps over core technology at the Startup Maha Kumbh.
We Are Building Chips, Not Just Ice Cream
In the letter, the founder declared his credentials — a former Intel engineer who started a profitable chip design firm in 2018, serving US and EU clients, including AI pioneers. “That is as deeptech as you can get,” he said, challenging Goyal’s claim that Indian startups lack semiconductor initiatives.
Broken System, Not Broken Startups
The founder argued that the real problem lies in government apathy and red tape. From being asked to “build first, then we will decide,” to applications delayed for over two years, he painted a grim picture of how bureaucracy crushes innovation. Even defense sector engagement, he said, ended in indifference and ego.
Bribes, Delays and Compliance Hell
After his application was returned, the founder said he received a call from a “facilitator” offering guaranteed approval for a fee. He also criticized excessive taxation, regulatory hurdles for lab imports, and a compliance calendar of over 300 items. “Should an entrepreneur build products or fill your useless forms?” he asked bluntly.
Entrepreneurs Need Support, Not Blame
Concluding his letter, the founder urged Goyal to focus on governance and reduce interference. He emphasized that Indian entrepreneurs have the capability to build world-class products if the government simply stops obstructing them.
Government Responds with Helpline Promise
In response to growing criticism, Goyal announced a startup helpline desk under the Startup India initiative. The desk aims to support entrepreneurs facing bureaucratic hurdles and collect suggestions for improving the startup ecosystem. Whether this initiative leads to real change remains to be seen.
