Rising Startup Culture in India: Here’s how India could be the Silicon Valley of the East

What is startup culture?

By definition, a startup is typically a traditional business established by one or more entrepreneurs. These startups are aimed at delivering new and unique products to the market. Every business in existence today was a startup at some point.

The startup culture refers to a significant increase in rising startup establishments with each passing day.


Rising Startup culture in India

The startup culture in India was primarily stimulated by the Startup India program launched by the Ministry of Commerce and Industry in 2016.

Startup India is a government initiative majorly aimed at rising startups, generating employment, and creating wealth. It focuses on expanding the market for products and services in India. It emphasizes accelerating the employment rate and encourages innovations regarding fresh products and services.


Some statistics you should know about:

  • Inc42 has reported that India has over 6,000 companies and that Prime Minister Narendra Modi is convinced that 44 percent of them are situated in Tier II and Tier III cities." At present, India is known as the world's second-largest startup base.
  • DPIIT has recognized 50,000 startups as of June 3, 2021, of which 19,896 had been recognized since April 1, 2020. Recognized startups have now expanded throughout 623 districts since the beginning of the Startup India project. There is at least one startup in every state and union territory.
  • The recognized startups have substantially contributed to employment creation, with 5,49,842 positions reported by 48,093 startups, with an average of 11 people per firm. Recognized companies alone produced around 1.7 lakh employment between 2020 and 2021.

India could be the Silicon Valley of the East: Here’s proof

For the past few decades, India has been the hub of rising startup companies. Primarily, Bangalore is most commonly regarded as the Silicon Valley of India owing to its huge startup base, and IT exports. However, the current scenario shows that the city of Hyderabad is on its way to replace Bangalore as the Silicon Valley of the East. Read on to find out about both cities in detail.



Bangalore is regarded as India's Silicon Valley due to its status as the country's largest exporter of information technology (IT). It is so-called because of the many rising startup companies that are springing up in the city. The city is also recognized as India's electronic capital.

Texas Instruments was the first international firm to establish a facility in Bangalore in 1985. Other IT firms followed, and towards the end of the twentieth century, Bangalore had managed to establish itself as the Silicon Valley of India.

Due to its status as the nation's largest information technology (IT) exporter, prominent IT corporations such as Google, Apple, Intel, IBM, Accenture, and Adobe have their units set up in Bangalore. The availability of industrial infrastructure, industrial policy, and engineering education further contribute to its designation as a Tech Hub. Bangalore's connectedness with the rest of the globe has improved in recent years. In today's Bangalore, nearly 200 engineering institutions foster technological potential. Bangalore's development and prosperity have outpaced the expansion of information technology (IT) in India. Aside from being an IT city, Bangalore is also a hub for various sectors such as aeronautics, defense research, and space research.

Bangalore has attracted the interest of global IT companies such as Intel and IBM. Bangalore employs around 2.5 million IT specialists.



Hyderabad is currently marching ahead as the greatest startup destination, eclipsing Bengaluru, which was previously a viable place for India's IT industry.

According to BBC, Hyderabad has a very active and dynamic ecology. The government is quite supportive of rising startup companies. It is true that doing business has been easier in the city and that bureaucracy has been eliminated. Startups receive a lot of help in the city.

Although Bengaluru has more tech entrepreneurs and relevant deals, Hyderabad is bridging the gap and challenging the city of Bengaluru’s claim to be India's Silicon Valley.



On its way to claiming the position of the Silicon Valley of the East, India's main problem lies in a lack of sufficient investors and engineers compared to cities like Beijing or Singapore. However, it is not unthinkable if Bangalore, the current Tech Hub city of India, acquires more businesses with billion-dollar valuations, investors, and startup founders, generating money and reinvesting in new and rising startup companies.

“If you could combine the infrastructure of Singapore with the talent of Beijing and the track record of Silicon Valley in terms of producing winners, that would be an amazing combination that could well make Bangalore the tech hub of Asia,” says Ben Legg, managing director of Ola UK, a Bangalore-based ride-sharing platform.

Nonetheless, even with its problems, India is beginning to draw the world's attention, and the way to go from here is for the nation to be the next Silicon Valley.

Hope this blog post has added value to your reading. For more such information keep reading our blogs and connect with us to become a part of this startup revolution at



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