Access to growth capital and market expansion are top priorities for Hyderabad's startup ecosystem

Hyderabad, which is home to more than 10,000 startups, is entering a new phase of growth building on three key pillars: infrastructure and connectivity, talent availability, and cost efficiency, says a report by early stage venture capital firm Endiya Partners.

According to the Hyderabad Startup Readiness Index 2026, part of Hyderabad Innovation Report 2026, the city recorded an overall ecosystem confidence of 6.5 out of 10.

Based on the response of 216 founders, investors, corporates and ecosystem stakeholders, the index has identified that the next stage for the startup ecosystem in Hyderabad will involve access to growth capital and market expansion.

The ecosystem's priorities are evolving from enabling startup creation to helping companies expand and compete at a global scale, the report says.

Founders have highlighted the challenges across different stages of the funding journey, while investors have identified capital availability across multiple funding stages as a key constraint. Ecosystem enablers are among the most optimistic respondents, citing Hyderabad's collaborative environment and institutional support as enduring strengths.

Despite differing perspectives, respondents have broadly agreed that improving access to capital, expanding market opportunities, and enabling startups to scale will define the ecosystem's next phase.

Hyderabad-based startups have attracted over $3 billion in venture funding across 384 plus deals since 2014. One of the key strengths of the city is the presence of over 355 global capability centres (GCCs), which account for nearly 20% of India's GCC base. This has made the city a key talent hub.

Sateesh Andra, Managing Partner, Endiya Partners, says, "Hyderabad has built strong foundations through talent, infrastructure and institutional support. The next phase will depend on enabling more companies to scale through deeper pools of growth capital, stronger market access and continued collaboration across founders, investors, corporates and policymakers. That's how Hyderabad will create the next generation of globally relevant companies."

The report highlights that as the city enters its next phase of growth, strengthening capital formation, improving market access. and fostering deeper collaboration across the ecosystem will be critical to building globally competitive companies and sustaining Hyderabad's innovation momentum.