India granted over 100,000 patents last year — a big surge compared to pre-pandemic data. This was based on increased activity in frontier technologies — or, deep tech — such as Artificial Intelligence, quantum computing, robotics, renewable energy, space tech, semiconductors, and biotech. These innovations are based on advanced science and engineering aimed at solving complex problems.
Patent rights offer a legally recognized exclusive opportunity to startups to commercialize their inventions. They serve as a defensive mechanism and catalyst for innovation-led growth. Patents also help secure funding, protect inventions from imitators, and enable collaborations. In 2025, Indian deep tech companies raised over $1 billion in equity funding. Investors are seeking patent portfolios as a prerequisite for funding.
Deep tech startups create new industries and tackle challenges like the climate crisis, health care, space exploration, and efficiency in judiciary. Despite India’s global rank (sixth) in patent filings, converting patents into commercial products remains a challenge.
The real value of a patent lies in its commercial potential in the market. This makes it a “high-quality” patent. Successful startups commercialize patents by bridging the academia-industry divide and building a viable business model.
The government has provided more research funding and incubation programmes. Policies for startups include reduction in patent fee, expedited examination, and assistance for international filings through SIP-EIT scheme. The Draft National Deep Tech Startup Policy, RDI Scheme for private sector, Startup India Seed Fund Scheme, SAMRIDH program for IT, and iDEX scheme for the defense sector are laudable initiatives.
In India, deep tech startups struggle with incubation support, funding shortage, and dysfunctional patent monetization framework. Experience of universities such as the IITs, IISc and BITS reveals that the real problems are insufficient funding, inadequate mentoring, lack of access to a patent system, and inability to monetise patents. What are the reasons?
Long gestation period, risky R&D, funding uncertainty, and lack of patent-protected innovations are existential challenges. The return on investment for patent licensing is low, and institutions retain ownership of patents — making it difficult for inventors to commercialize independently. The lack of interdisciplinary awareness between technical know-how and legal knowledge — the necessary and sufficient conditions — for patent licensing aggravates the problem. As a result, most Indian deep tech startups gradually die. Those who are able to secure patents fulfill the requirements of “novelty” and “inventive step”, but ex post fall short of the third requirement of “industrial applicability”.
Some problems are systemic. The average pendency — from application to grant of patent — is 40-50 months. The average time to receive the first examination report is almost 12 months. This is disastrous for deep tech startups. Since patented innovations are business assets that help attract funding, delay in getting patents granted risk collapse of the idea. Here, we make six actionable recommendations.
Strengthen academic-startup linkages: Over half of deep tech startups originate from within academia. Collaborations with top academic institutions are vital for knowledge transfer, joint intellectual property (IP), access to talent, and sharing of labs and R&D facilities. Doctoral (PhD) programs need reorientation to promote entrepreneurship and making company formation or prototype development, instead of just academic publications, as PhD outcomes.
Expand access to strategic capital: Startups require long-term capital to support high R&D costs and longer time-to-market — typical of all deep tech fields. Leveraging government funds — such as the Deep Tech Fund of Funds and thematic venture capital vehicles — with domestic and foreign private investments can create an enabling environment for deep tech innovation.
Foster IP literacy and support robust patent portfolios: Engineers and scientists in this space should actively seek IP education, institutional support, and professional advisory to build defensible and high-value patent portfolios. IP literacy must be part of early-stage accelerator and incubator support. Building a culture of IP and fostering greater collaboration with legal professionals are essential.
Promote regulatory ease and fast-track approvals: The government and regulatory agencies should simplify procedures and introduce regulatory sandboxes for AI, robotics, quantum computing, semiconductors, biotech, and autonomous vehicles. Fast-track mechanisms will help startups bring complex, high-impact technologies to market rapidly. The focus should be on patent quality rather than numbers.
Institutional framework for academia: There is a dire need to create new India-centric institutional frameworks for assisting faculty and founders in deep tech space. This can be done by enabling access to skilled professionals for prototyping, certification, validation, trials, reliability, regulatory approvals, patent filing/prosecution, and licensing.
Incentivize commercialization and international collaboration: Targeted incentives — for example, grants for prototype development, revenue-linked tax benefits, and prioritized government procurement — will help startups cross the critical commercialization chasm. Thematic global partnerships and collaborations with tech companies can open new markets, facilitate tech transfer, and accelerate commercial scale-up for Indian startups.
Patents beget innovation and innovation catalyze growth — as demonstrated by the phenomenal work of the 2025 Nobel laureates in economics. Innovation will help our startups scale and enhance India’s economic resilience to achieve technological sovereignty. This is achievable if these recommendations see the light of day in a timely manner.
V Ramgopal Rao is group vice-chancellor, BITS Pilani – All Campus, and Ashish Bharadwaj is dean, BITS Law School, Mumbai.The views expressed are personal
