Bengaluru startup ecosystem valued at $153 billion, top 6 in Asia: Report

Bengaluru’s startup ecosystem has reached a valuation of $153 billion, securing its position as India’s leading hub and the sixth-ranked ecosystem in Asia, according to the Global Startup Ecosystem Report 2026. The city accounts for 58% of India’s artificial intelligence venture funding and attracted $39 billion in capital between 2021 and 2025, ranking fourth in Asia. Startups in Bengaluru also achieved $46 billion in exits across 304 companies, with an average exit timeline of 8.2 years—faster than the global benchmark of 11.1 years. The report, unveiled at VivaTech Paris by Startup Genome and the Karnataka Digital Economy Mission, highlights Bengaluru’s role as a global deep tech powerhouse. The ecosystem’s growth rate is three times the Asian average, supported by competitive talent costs, with local software engineers earning a median annual salary of $19.6K. Karnataka ranks second in Asia as an AI-Native Cluster and has climbed into the global Top 10 for R&D, up from the Top 30 in 2025. State policies are driving this momentum, including the $62.4 million Startup Policy 2.0 (2025–2030), aimed at creating 25,000 new startups, the $110 million Local Economy Accelerator Program, and the $114 million Karnataka Quantum Mission. However, global AI funding remains skewed toward North America, which absorbed 86% of late-stage venture capital in 2025. While Bengaluru maintained its global standing, Delhi fell to 31st place, and Mumbai rose to the top of the Emerging Ecosystems index. Asian rivals like Beijing, Shanghai, and Shenzhen saw marginal declines, presenting an opportunity for Karnataka to attract reallocated geopolitical capital. Karnataka’s IT Minister, Priyank Kharge, emphasized the city’s shift toward deep tech and AI innovation, validating long-term investments in talent and research.