There is active global discussion about artificial intelligence (AI), which has even permeated office planning. Nevertheless, in India, AI-related startups rank ninth, while IT services startups are the most numerous.
According to a response received from the Department for Promotion of Industry and Internal Trade (DPIIT) under the Right to Information (RTI) Act, the information technology services sector leads in the number of recognized startups in India. Furthermore, the state of Uttar Pradesh has approached the level of Karnataka in terms of the number of recognized startups.
DPIIT reported in the response provided under the Startup India section dated August 13, 2026, that certificates of startup status were issued to a total of 245 thousand organizations from 2016 to July 31, 2026. The department specified that this statistic includes approved, cancelled, and expired statuses. In total, the recognized startups have provided 2,507,365 jobs.
The share of AI is only 3.2%
Out of the total of 245,433 recognized organizations, only 7,825 startups indicated AI as their primary business focus. Thus, the share of AI startups in the total number is only 3.2%, and the AI industrial list ranks ninth. Regarding information technology services, there are 27,830 such startups registered in India, and they are at the top of the list. The IT industry's share in the total number of recognized startups is 11.3%. The second most significant sector is healthcare and life cycles, with 22,500 startups. It is important to note that this classification is based on the main industry declared when applying for recognition, so some startups using AI in their products or services may be registered in the IT services, healthcare, or other sectors.
Agriculture and education lag behind AI
In the Indian startup ecosystem, construction/building ranks third with 14,265 recognized startups, almost double the number of AI startups. The number of food and beverage startups reaches 13,877. Agricultural startups number 13,753, and educational startups number 13,426.
A total of 140,677 startups are included in the top 10 industries, which accounts for about 57% of the total recognized startups. This demonstrates that the Indian startup ecosystem is not limited only to software and technology but is also actively developing in traditional sectors such as construction, food, agriculture, and education.
Maharashtra leads among states in startups
When looking at state-level indicators, Maharashtra is the leader, having approximately 42,396 registered startups that provided 442,296 jobs. Maharashtra ranks first in both metrics. Karnataka is second, with a difference of 17,800 startups between the first two places. Uttar Pradesh ranked third (24,245), and Delhi fourth (22,720). Gujarat reported 21,521 startups and 235,458 jobs. Among the top 10 states are also Tamil Nadu (16,082), Telangana (13,941), Haryana (12,776), Kerala (9,278), and Rajasthan (8,960).
Haryana is not inferior to anyone
In terms of employment, Haryana demonstrated a significant advantage. This state has 12,776 registered startups that created about 150 thousand jobs, which is the highest figure among the top 10 states on average. The average number of jobs per startup in Haryana is approximately 11.8.
Uttar Pradesh is approaching Karnataka in startup numbers
Uttar Pradesh is rapidly strengthening its position as a major startup hub in the country, with 24,245 registered startups. Karnataka has 24,546 registered startups, and the difference between them is only 301. Karnataka was long considered the center of the Indian startup economy, but now Uttar Pradesh is catching up to its level. Regarding employment, the average in Karnataka is 10.7 jobs per startup, whereas in Uttar Pradesh, this figure is lower—9.4 jobs per startup.
Growth in the number of startups in India
The number of startups in India continues to grow. In 2024, there were 34,294 registered startups in the registry, and in 2025, 49,429 startups were approved, marking an increase of 44%. In just seven months in 2026 (until July 31), 38,298 startup registrations were issued, representing an increase of approximately 77% compared to 2025. There are suggestions that a new record for startup registrations may be set in 2026, although exact data on the current number of active and closed companies is still unavailable.
