In the year 2024, start-ups based in Telangana managed to secure a staggering $571 million in funding.
Hyderabad's Startup Ecosystem Thrives: A Hub for Innovation and Women Entrepreneurs
Hyderabad, the city of pearls, has emerged as a major startup hub in India, attracting significant investments and creating over 2,500 new startups between January 2020 and May 2025. This growth was highlighted by D. Sridhar Babu, Minister for Information Technology, Government of Telangana, who announced that the city had attracted approximately $2.1 billion in startup funding during this period [1][4].
The startup sectors in Hyderabad are diverse, with investments flowing into healthcare, HRTech, EdTech, e-commerce, electric vehicles, beauty tech, and alternative lending, among others [1][4]. This diversity reflects the wide range of investment interests in the city.
One of the most encouraging aspects of Hyderabad's startup ecosystem is the strong support for women entrepreneurs. The city ranks 6th in India for thriving women-led ventures, with 531 women-led startups raising $417 million. Notably, 44% of the 1,400+ startups supported through STPI Hyderabad received substantial backing, and a significant portion of these are women-led [3].
In 2024, Hyderabad saw a remarkable 160% increase in start-up funding, raising $571 million across 81 funding rounds. This growth was particularly evident in healthtech startups, where funding increased 21 times to $300 million [2].
The Telangana government is actively supporting startups through initiatives like STPI Hyderabad, which has provided ₹574 crore in support to over 1,400 startups [3]. Hyderabad's ecosystem also features expansions from global companies such as FedEx, Uber, and Eli Lilly, as well as the development of major innovation hubs like a 200-acre AI City and Asia's largest biotech cluster at Genome Valley [3].
The revival of the August Fest, a significant event in Hyderabad's cultural calendar, was another highlight of 2025. The event, which had been on a seven-year hiatus, attracted over 7,000 delegates and saw a 14-year-old named Srija present a Ganesh idol made of groundnut shells [5].
In conclusion, Hyderabad is experiencing a rapid scale-up in startup funding and innovation, with increasing inclusion and support for women-led ventures as of mid-2025 [1][3][4]. The city's vibrant startup ecosystem continues to attract global attention and investment, positioning it as a key player in India's tech landscape.
This article was published on August 10, 2025.
[1] Hyderabad Produces Over 2,500 Start-ups Between 2020 and 2025 [2] Fintech Start-ups in Hyderabad Secure $105 Million in 2024 [3] Telangana Government Support for Start-ups in Hyderabad [4] Hyderabad Attracts $2.1 Billion in Startup Funding Between 2020 and 2025 [5] Srija, a 14-year-old, Presents Ganesh Idol Made of Groundnut Shells at August Fest 2025
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