Accel and Prosus Launch Early-Stage Fund to Back Indian Startups Targeting Mass Market

Lilu Anderson
Photo: Finoracle.net

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->

Contents
FinOracleAI — Market ViewIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewStrategic Significance Amid Geopolitical and Market ShiftsRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewStrategic Significance Amid Geopolitical and Market ShiftsRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewInvestment Strategy and Financial CommitmentsStrategic Significance Amid Geopolitical and Market ShiftsRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewInvestment Strategy and Financial CommitmentsStrategic Significance Amid Geopolitical and Market ShiftsRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewIndia’s Digital Economy and Startup LandscapeInvestment Strategy and Financial CommitmentsStrategic Significance Amid Geopolitical and Market ShiftsRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewIndia’s Digital Economy and Startup LandscapeInvestment Strategy and Financial CommitmentsStrategic Significance Amid Geopolitical and Market ShiftsRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market ViewAccel and Prosus Form Strategic Early-Stage Investment AllianceIndia’s Digital Economy and Startup LandscapeInvestment Strategy and Financial CommitmentsStrategic Significance Amid Geopolitical and Market ShiftsRecent Co-Investments and Ecosystem ExpansionIndia’s Venture Capital EnvironmentFinOracleAI — Market View
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> Ashutosh Sharma, head of India ecosystem at Prosus, highlighted the rationale behind the partnership: “Given the ambitious goals of these founders and the complexity of the problems they are solving, combining our resources makes strategic sense.” !-- wp:paragraph -->

Strategic Significance Amid Geopolitical and Market Shifts

The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> Prosus has pledged to match Accel’s investments in each startup, with initial funding ranging from $100,000 to $1 million. This joint capital injection aims to provide early-stage startups with sufficient runway to progress substantially without the need for multiple, dilutive funding rounds. !-- wp:paragraph -->
“We feel now the time is right for the Indian startup ecosystem to move from adapting global businesses to creating Indian models that help India leapfrog its journey in becoming a developed country,” said Pratik Agarwal, partner at Accel.
Ashutosh Sharma, head of India ecosystem at Prosus, highlighted the rationale behind the partnership: “Given the ambitious goals of these founders and the complexity of the problems they are solving, combining our resources makes strategic sense.” !-- wp:paragraph -->

Strategic Significance Amid Geopolitical and Market Shifts

The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> India stands as the world’s most populous country and a rapidly expanding digital market, boasting over a billion internet users and more than 700 million smartphone users. Government-backed digital infrastructure platforms like Unified Payments Interface (UPI) and Aadhaar have accelerated the scalability of tech ventures. However, much of India’s startup activity has historically revolved around adapting existing global business models rather than creating indigenous solutions for large-scale domestic challenges. !-- wp:paragraph --> The Accel–Prosus partnership seeks to change this dynamic by focusing on “leap tech” startups — companies that tackle systemic problems with innovative, scalable technologies. !-- wp:paragraph -->

Investment Strategy and Financial Commitments

Prosus has pledged to match Accel’s investments in each startup, with initial funding ranging from $100,000 to $1 million. This joint capital injection aims to provide early-stage startups with sufficient runway to progress substantially without the need for multiple, dilutive funding rounds. !-- wp:paragraph -->
“We feel now the time is right for the Indian startup ecosystem to move from adapting global businesses to creating Indian models that help India leapfrog its journey in becoming a developed country,” said Pratik Agarwal, partner at Accel.
Ashutosh Sharma, head of India ecosystem at Prosus, highlighted the rationale behind the partnership: “Given the ambitious goals of these founders and the complexity of the problems they are solving, combining our resources makes strategic sense.” !-- wp:paragraph -->

Strategic Significance Amid Geopolitical and Market Shifts

The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> India stands as the world’s most populous country and a rapidly expanding digital market, boasting over a billion internet users and more than 700 million smartphone users. Government-backed digital infrastructure platforms like Unified Payments Interface (UPI) and Aadhaar have accelerated the scalability of tech ventures. However, much of India’s startup activity has historically revolved around adapting existing global business models rather than creating indigenous solutions for large-scale domestic challenges. !-- wp:paragraph --> The Accel–Prosus partnership seeks to change this dynamic by focusing on “leap tech” startups — companies that tackle systemic problems with innovative, scalable technologies. !-- wp:paragraph -->

Investment Strategy and Financial Commitments

Prosus has pledged to match Accel’s investments in each startup, with initial funding ranging from $100,000 to $1 million. This joint capital injection aims to provide early-stage startups with sufficient runway to progress substantially without the need for multiple, dilutive funding rounds. !-- wp:paragraph -->
“We feel now the time is right for the Indian startup ecosystem to move from adapting global businesses to creating Indian models that help India leapfrog its journey in becoming a developed country,” said Pratik Agarwal, partner at Accel.
Ashutosh Sharma, head of India ecosystem at Prosus, highlighted the rationale behind the partnership: “Given the ambitious goals of these founders and the complexity of the problems they are solving, combining our resources makes strategic sense.” !-- wp:paragraph -->

Strategic Significance Amid Geopolitical and Market Shifts

The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> In a significant move to support India’s burgeoning startup ecosystem, Accel and Prosus have announced a new investment partnership focused on backing Indian startups from their earliest stages. This collaboration marks the first time Prosus is investing at the formation phase, signaling a strategic shift to nurture founders developing large-scale, systemic solutions tailored for India’s vast population of over 1.4 billion. !-- wp:paragraph --> The partnership aims to co-invest in startups addressing critical sectors such as automation, energy transition, internet services, and manufacturing — areas vital to India’s economic leap. !-- wp:paragraph -->

India’s Digital Economy and Startup Landscape

India stands as the world’s most populous country and a rapidly expanding digital market, boasting over a billion internet users and more than 700 million smartphone users. Government-backed digital infrastructure platforms like Unified Payments Interface (UPI) and Aadhaar have accelerated the scalability of tech ventures. However, much of India’s startup activity has historically revolved around adapting existing global business models rather than creating indigenous solutions for large-scale domestic challenges. !-- wp:paragraph --> The Accel–Prosus partnership seeks to change this dynamic by focusing on “leap tech” startups — companies that tackle systemic problems with innovative, scalable technologies. !-- wp:paragraph -->

Investment Strategy and Financial Commitments

Prosus has pledged to match Accel’s investments in each startup, with initial funding ranging from $100,000 to $1 million. This joint capital injection aims to provide early-stage startups with sufficient runway to progress substantially without the need for multiple, dilutive funding rounds. !-- wp:paragraph -->
“We feel now the time is right for the Indian startup ecosystem to move from adapting global businesses to creating Indian models that help India leapfrog its journey in becoming a developed country,” said Pratik Agarwal, partner at Accel.
Ashutosh Sharma, head of India ecosystem at Prosus, highlighted the rationale behind the partnership: “Given the ambitious goals of these founders and the complexity of the problems they are solving, combining our resources makes strategic sense.” !-- wp:paragraph -->

Strategic Significance Amid Geopolitical and Market Shifts

The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph --> In a significant move to support India’s burgeoning startup ecosystem, Accel and Prosus have announced a new investment partnership focused on backing Indian startups from their earliest stages. This collaboration marks the first time Prosus is investing at the formation phase, signaling a strategic shift to nurture founders developing large-scale, systemic solutions tailored for India’s vast population of over 1.4 billion. !-- wp:paragraph --> The partnership aims to co-invest in startups addressing critical sectors such as automation, energy transition, internet services, and manufacturing — areas vital to India’s economic leap. !-- wp:paragraph -->

India’s Digital Economy and Startup Landscape

India stands as the world’s most populous country and a rapidly expanding digital market, boasting over a billion internet users and more than 700 million smartphone users. Government-backed digital infrastructure platforms like Unified Payments Interface (UPI) and Aadhaar have accelerated the scalability of tech ventures. However, much of India’s startup activity has historically revolved around adapting existing global business models rather than creating indigenous solutions for large-scale domestic challenges. !-- wp:paragraph --> The Accel–Prosus partnership seeks to change this dynamic by focusing on “leap tech” startups — companies that tackle systemic problems with innovative, scalable technologies. !-- wp:paragraph -->

Investment Strategy and Financial Commitments

Prosus has pledged to match Accel’s investments in each startup, with initial funding ranging from $100,000 to $1 million. This joint capital injection aims to provide early-stage startups with sufficient runway to progress substantially without the need for multiple, dilutive funding rounds. !-- wp:paragraph -->
“We feel now the time is right for the Indian startup ecosystem to move from adapting global businesses to creating Indian models that help India leapfrog its journey in becoming a developed country,” said Pratik Agarwal, partner at Accel.
Ashutosh Sharma, head of India ecosystem at Prosus, highlighted the rationale behind the partnership: “Given the ambitious goals of these founders and the complexity of the problems they are solving, combining our resources makes strategic sense.” !-- wp:paragraph -->

Strategic Significance Amid Geopolitical and Market Shifts

The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph -->

Accel and Prosus Form Strategic Early-Stage Investment Alliance

In a significant move to support India’s burgeoning startup ecosystem, Accel and Prosus have announced a new investment partnership focused on backing Indian startups from their earliest stages. This collaboration marks the first time Prosus is investing at the formation phase, signaling a strategic shift to nurture founders developing large-scale, systemic solutions tailored for India’s vast population of over 1.4 billion. !-- wp:paragraph --> The partnership aims to co-invest in startups addressing critical sectors such as automation, energy transition, internet services, and manufacturing — areas vital to India’s economic leap. !-- wp:paragraph -->

India’s Digital Economy and Startup Landscape

India stands as the world’s most populous country and a rapidly expanding digital market, boasting over a billion internet users and more than 700 million smartphone users. Government-backed digital infrastructure platforms like Unified Payments Interface (UPI) and Aadhaar have accelerated the scalability of tech ventures. However, much of India’s startup activity has historically revolved around adapting existing global business models rather than creating indigenous solutions for large-scale domestic challenges. !-- wp:paragraph --> The Accel–Prosus partnership seeks to change this dynamic by focusing on “leap tech” startups — companies that tackle systemic problems with innovative, scalable technologies. !-- wp:paragraph -->

Investment Strategy and Financial Commitments

Prosus has pledged to match Accel’s investments in each startup, with initial funding ranging from $100,000 to $1 million. This joint capital injection aims to provide early-stage startups with sufficient runway to progress substantially without the need for multiple, dilutive funding rounds. !-- wp:paragraph -->
“We feel now the time is right for the Indian startup ecosystem to move from adapting global businesses to creating Indian models that help India leapfrog its journey in becoming a developed country,” said Pratik Agarwal, partner at Accel.
Ashutosh Sharma, head of India ecosystem at Prosus, highlighted the rationale behind the partnership: “Given the ambitious goals of these founders and the complexity of the problems they are solving, combining our resources makes strategic sense.” !-- wp:paragraph -->

Strategic Significance Amid Geopolitical and Market Shifts

The partnership emerges amid global geopolitical tensions that have disrupted capital flows and supply chains, prompting investors to reassess deployment strategies. India’s expanding digital infrastructure, large domestic market, and growing technical talent pool position it as a strategic priority for long-term investments. !-- wp:paragraph --> Pratik Agarwal emphasized India’s need to accelerate its path as a self-sovereign, developed economy, underlining the importance of homegrown, large-scale technology solutions. !-- wp:paragraph -->

Recent Co-Investments and Ecosystem Expansion

In recent months, Accel and Prosus have jointly invested in promising startups such as AI-powered tutoring platform Arivihan and affordable internet provider Wiom, reflecting their commitment to nurturing diverse sectors within India’s tech ecosystem. !-- wp:paragraph -->
“Some countries will be disproportionate beneficiaries of the AI revolution — the U.S. and China are obvious examples. India’s ambition under this program is to secure its rightful place not only in AI but in the broader ‘leap tech’ revolution,” Sharma said.

India’s Venture Capital Environment

Despite a 25% year-over-year decline in venture capital funding in India during the first half of 2025 — with early-stage deals down 16% and late-stage deals dropping 27% — the country remains a key focus for global investors. The formation of coalitions among leading VC and private equity firms to back deep tech startups underscores sustained investor confidence. !-- wp:paragraph -->

FinOracleAI — Market View

The Accel–Prosus partnership represents a strategic evolution in India’s startup funding landscape, targeting early-stage ventures that address large-scale systemic challenges. This approach aligns with India’s broader economic ambitions to develop indigenous technological capabilities and reduce reliance on adapted global models. !-- wp:paragraph -->
  • Opportunities: Access to substantial early-stage capital can accelerate innovation in sectors critical to India’s development, such as automation and energy transition.
  • Risks: The long gestation periods and capital-intensive nature of systemic startups may pose valuation and liquidity challenges.
  • Market Impact: The partnership could set a precedent for increased early-stage investments in emerging markets with large populations.
  • Strategic Importance: Reinforces India’s position as a key destination for global venture capital amid geopolitical uncertainties.
Impact: This collaboration is expected to positively influence India’s startup ecosystem by enabling founders to develop scalable, homegrown solutions that address the needs of over a billion people, thereby supporting the country’s leap toward becoming a developed economy. !-- wp:paragraph -->
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Lilu Anderson is a technology writer and analyst with over 12 years of experience in the tech industry. A graduate of Stanford University with a degree in Computer Science, Lilu specializes in emerging technologies, software development, and cybersecurity. Her work has been published in renowned tech publications such as Wired, TechCrunch, and Ars Technica. Lilu’s articles are known for their detailed research, clear articulation, and insightful analysis, making them valuable to readers seeking reliable and up-to-date information on technology trends. She actively stays abreast of the latest advancements and regularly participates in industry conferences and tech meetups. With a strong reputation for expertise, authoritativeness, and trustworthiness, Lilu Anderson continues to deliver high-quality content that helps readers understand and navigate the fast-paced world of technology.