Indian Startups Will Hire 32 Lakh Employees In 5 Years; 150 Unicorns Expected!
Startups are crucial for the development of any country. They contribute to GDP, create new jobs and most of all they increase the speed of innovation and spur the competition. They become an active growth catalyst of any economy. With India, marching ahead with the aim of becoming ‘Atmanirbhar,’ the importance of startups wouldn’t have been higher than it is today. And, it seems like the country might be heading in the right direction.
India will be home to over 150 unicorns by 2025
The startup ecosystem of India is poised to gain further momentum after the unprecedented funding boom it has witnessed this year. This funding bandwagon has created 20 unicorns (private firms valued at $1 billion or more).
As per the report published by early-stage venture capital fund 3one4 Capital, by 2025, the Indian startup ecosystem is set to witness three-fold growth in valuation and a substantial rise in the number of Unicorns. India currently harbors 59 unicorns.
According to the report, the number of startups will increase from current 55,000 to 100,000 in 2025. Between 2021 and 2025, the startups will attract investment of a whopping $100 billion. They also contribute to the generation of employment for 3.25 million people. This will result in India becoming the second-largest ecosystem in the world after the United States. The report also mentioned that India will be home to over 150 Unicorns.
Startup valuation will reach $1 Trillion by 2025
While forecasting the valuation of the startup space, the report said, the total valuation will make a jump from the current $315 billion to $1 trillion by 2025.
Till now, India’s Unicorns have created $180 billion in value. This number will grow to $ 621.9 billion, by 2025. Currently, Soonicorns, or potential unicorns, are valued at $ 41.3 billion. This valuation will increase to $114.2 billion in 2025. The report also said, startups too will see a two-fold growth from the current valuation of $ 50 billion to $ 100 billion by 2025.
In 2020 Indian startups managed to raise $11.5 billion through 924 deals. More than half of them were executed in Bengaluru and New Delhi. To be precise, Bengaluru witnessed 45 percent of the total deal value between 2017 and 2020.
So, all in all, wonderful days are on the horizon for the Indian startup ecosystem in near future. Fingers crossed.