Space tech funding in India on the rise, Bengaluru tops the chart: Report
India's space tech sector has reached a record $871 million in total funding as of July 2026, with Bengaluru serving as the primary hub. While funding has grown significantly since 2021, recent growth is driven by a few large deals rather than broad-based market activity.
Why it matters
The transition from seed-stage to late-stage funding indicates that the Indian private space industry is maturing from experimental development to pre-commercial operations.
As India’s space tech funding reached a record $200 million in 2025, Bengaluru has emerged the ecosystem leader attracting more than half of the ecosystem funding, shows a new report by market research firm Tracxn.
According to the report, the sector has raised approximately $871 million in funding as of July 2026. The top 10 most-funded companies alone account for over 60% of this total, led by India’s first Space Tech unicorn, Skyroot Aerospace , at $150M. Skyroot built Vikram-1, India’s first privately developed orbital-class rocket , which successfully reached low Earth orbit on July 18.
The report titled ‘Space Tech in India’ maps 285 companies currently in the Indian space tech ecosystem, with 274 remaining active. Out of these 72 have received equity funding.
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