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The Centre has given an official definition for what constitutes a ‘deep tech’ startup in India. A buzzword until now, the ‘deep tech’ startup, according to a gazette notification by the Department for Promotion of Industry and Internal Trade (DPIIT) made public on Thursday, is one that is primarily concerned with producing a solution based on new knowledge/ advancements in a scientific or engineering discipline.
It must spend most of its money on research and development (R&D) activities; owns or is in the process of creating significant novel intellectual property (IP) and taking steps to commercialise the same; faces extended development timelines, long gestation periods, high capital and infrastructure requirements, and carries large technical or scientific uncertainty.
A ‘startup,’ — the DPIIT says — is a company that is less than 10 years old or has a turnover less than ₹200 crore. According to the gazette notification, a deep tech company can consider itself a ‘startup’ for as long as 20 years and a turnover of upto ₹300 crore — indicating the longer runway such companies have and the time it takes to come to fruition.
Applying for certification
To be counted as a deep tech startup, companies must apply to the DPIIT for a certificate. The DPIIT is the final authority that determines whether a company qualifies as a startup or a deep tech startup. It will decide this based on “guidance” from an Inter-Ministerial Board of Certification, which includes a Joint Secretary, DPIIT (Convener); a representative from the Department of Science and Technology (DST); a representative from the Department of Biotechnology, according to the notification.
The notification also prohibits a defined startup from investing in activities that are not directly connected to its core mandate of working and creating new knowledge — for instance investing in real estate or “speculative assets,” or shares and securities — unless they are core to the company’s knowledge production.
These definitions are important given the Centre’s thrust on technology-driven startups. The Anusandhan National Research Foundation (ANRF) is the custodian of the ₹1 lakh crore Research and Development Innovation (RDI) Fund that is expected to invest in emerging technology and fund research over seven years. A part of these investments, which will be through secondary fund managers such as financial institutions, will go to deep tech startups. Union Minister of State (Independent Charge) for Science and Technology Jitendra Singh said this week that companies with RDI funds could get financing at concessional rates of around 2-4% with tenures upto 15 years.
In 2024, the DPIIT recognised about 10,000 startups in India with Ajay Sood, India’s Principal Scientific Advisor (PSA), stating that only about 10% of them were ‘deep tech’ startups and that this was “too low” for India. The PSA office prepared a deep tech policy in July 2023, though this has yet to be approved by the Union Cabinet.
Published – February 06, 2026 06:08 pm IST
