With EV Sales Slowing, Can Startups Spark A Funding Comeback?

Private funding in the Indian startup ecosystem zoomed past $12 Bn across 993 deals in 2024, clocking a 20% surge over the previous year. Electric vehicle startups, however, failed to ride the rebound and funding decelerated nearly 31% to $624 Mn across 43 deals, according to Inc42’s ‘India’s Electric Vehicle Startup Report 2025’.

This was the second straight year when investors refrained from making heavy bets on EVs. Funding in EV startups had surged nearly 255% in 2021 before it scaled an all-time high of $1.08 Bn from 60 deals in…