Tech Start-ups Quarterly Investment Factbook Q4 CY2023” is a Nasscom- Zinnov quarterly funding update on Tech start-ups highlighting key trends and facts about the Indian tech start-up ecosystem during the quarter. It includes funding statistics by volume, value, stage, and other metrics that provide insights into key verticals, mergers and acquisitions, and other interesting quarter-end insights.

Key Highlights
Tech start-up funding showed some signs of recovery:

• Q4 CY2023 funding totalled USD 2.1 Bn –2X of that in Q3 CY 2023
• Number of deals in Q4 CY2023 up by over 14% Q-o-Q

Recovery in overall funding primarily attributable to late-stage funding growth:

• Late-stage funding grew 2X in Q4 CY 2023 over Q3 CY 2023, and accounted for more than 70% of the overall funding in CY 2023
• RetailTech, HealthTech, and Automotive emerged as the top sectors accounting for 80% of the late-stage funding in CY 2023

Growing interest of domestic investors in the Indian tech start-up landscape:

• Number of Private Equity dealsgrew 1.6X in Q4 CY 2023
• BFSI, SCM & Logistics and HealthTechwitnessed the highest interest from domestic investors in Q4 CY 2023

DeepTech funding remained a concern:

• DeepTech funding in Q4 CY 2023 declined by 46% over Q3 CY 2023
• Automotive, EnterpriseTech, and Industrial & Manufacturing emerged as the top 3 sectors in DeepTech funding in Q4 CY 2023