India is home to the third largest startup ecosystem, but in a latest ranking of global startup ecosystems by Startupblink, India has dropped 6 places to the 23rd spot. StartupBlink is a global comprehensive startup ecosystem map and research centre. India’s Silicon Valley Bengaluru dropped three places to have the 14th rank in the top cities with best startup ecosystems ranking, while the national capital Delhi climbed three spots to the 15th rank. Meanwhile, Mumbai held the 22nd rank. Hyderabad lost 21 spots to be ranked 96th. But India’s results were called disappointing as last year the country had seven cities in the top 100 list but this year only four cities made it top 100. A total of 38 cities made it to the world’s top 1000 cities with startup ecosystems.
“To improve its rankings, India has to focus on strengthening its top 3 cities and helping more of its 35 other ranked cities to grow faster. The potential is immense, and improving the business score with better regulation and infrastructure would be extremely helpful,” said the report.
StartupBlink also called India’s much celebrated jump to the 17th spot in 2019 a “bit premature”. “Some immense infrastructure problems remain in the country, which gravely affects entrepreneurs and their startups. Internet speed is low compared to most other countries, and power outages are frequent,” said the report. However, the report also remained optimistic saying that India has the potential to regain its strength and position. India is home to over 50,000 startups with 31 unicorns. India also has about 9,300 tech startups alone, while 1,600 are deep tech startups. It also has 335 incubators and accelerators. According to the Nasscom-Zinnov report Indian Tech Start-up Ecosystem, India will see 100 unicorns by 2025 and will create over 1.1 million direct jobs.