Global investors launch a new partnership to support Indian founders building large-scale, AI-driven, and deep tech solutions from day zero.
Two of the world’s most prominent investors, Accel and Prosus, have teamed up to launch a powerful new investment partnership aimed at backing early-stage Indian startups. The collaboration — announced on Monday — marks the first time Prosus is investing at the formation stage, signaling growing confidence in India’s next generation of entrepreneurs.
Under the alliance, both firms will co-invest from the earliest stages, focusing on startups tackling systemic challenges in key sectors such as automation, energy transition, internet services, and manufacturing. Initial investments will range from $100,000 to $1 million, with scope to increase over time.
“We feel now the time is right for India’s startup ecosystem to move from adapting global businesses to creating homegrown models that help the country leapfrog into a developed economy,” said Pratik Agarwal, Partner at Accel.
He explained that startups addressing population-scale problems often struggle to secure enough early capital, which slows their growth. The new partnership aims to close that gap by providing early funding at the right time, reducing the risk of repeated setbacks before success.
Prosus, traditionally known for its late-stage investments in companies like Swiggy, Meesho, and PayU, sees this collaboration as an opportunity to identify and nurture the next generation of Indian tech leaders.
“If we can identify a Swiggy, a Meesho, or a Tencent of tomorrow — today — that is success enough,” said Ashutosh Sharma, Head of India Ecosystem at Prosus.
Sharma added that this partnership reflects a shared vision to position India as a global innovation hub, particularly amid the rapid rise of AI and deep tech.
The initiative expands Accel’s Atoms X program, launched in July, which supports “leap tech” startups — companies developing large-scale, systems-driven solutions designed for long-term impact.
Recent co-investments by Accel and Prosus include AI-powered tutoring platform Arivihan and affordable internet provider Wiom, signaling a strong focus on AI, digital inclusion, and infrastructure innovation.
The timing is strategic: despite a 25% drop in VC funding in India during the first half of 2025, the country’s digital economy continues to thrive, fueled by over 1 billion internet users and 700 million smartphone owners. India’s strong digital infrastructure — from UPI to Aadhaar — makes it one of the most promising startup ecosystems in the world.
“Because of the AI-led disruption happening around us, countries like India have a real opportunity to define their role in the global tech order,” Sharma said.
As global capital flows shift amid geopolitical tensions, India’s large market, robust digital infrastructure, and deep technical talent make it an increasingly attractive destination for long-term investment.
With this new Accel–Prosus partnership, India’s startup scene may be entering its most transformative phase yet — one built on innovation, collaboration, and a bold vision for global impact.
