Indian tech startups raised $10.3 billion in the first nine months of 2026, up 7 percent from a year earlier, according to Tracxn's India Tech 9M 2026 report. The number of funding rounds fell 38 percent to 1,134.

The money is flowing into fewer, larger deals. Eighteen rounds crossed $100 million, led by Nxtra's $1 billion raise, Neysa's $600 million and CRED's $540 million. Seed funding fell 37 percent to $698 million.

Separately, Lightspeed is targeting $250 million for a new early-stage India AI fund, according to an investor letter seen by TechCrunch. About 80 percent of the target is already committed.

The fund, Lightspeed India Partners V, is half the size of its $500 million predecessor from 2022. The firm plans to start investing within two months over an investment period of about two and a half years.

India added six new unicorns in the period, up from four a year earlier. Capital is getting more selective, with early-stage funding up 27 percent but first-time funded companies down 30 percent.