Kerala Startup Mission (KSUM) has signalled its ambition to transform Kerala into a “deep-tech factory”, with plans to nurture 10 startups each generating ₹1,000 crore in annual revenue over the next decade. According to the mission CEO, Anoop Ambika, the mission also targets creating 100 deep-tech firms spanning AI, biotechnology, spacetech, renewable energy, digital media, and agritech.
The initiative marks the next phase of Kerala’s startup journey. A decade ago, entrepreneurship barely resonated with Kerala's middle-class households; today, the state hosts 13,306 startups — 7,031 of them recognised by the Centre — and has drawn more than ₹8,000 crore in investments. The ecosystem took root in 2010–11, formalised as KSUM in 2016 with a goal of 15,000 startups and ₹10,000 crore in investments.
The mission defines startups as enterprises that use technology to disrupt existing methods of product development, production, or marketing, making it possible to deliver a service or product to a much larger consumer base and, in turn, generate significant capital. While micro, small and medium enterprises record an average annual growth rate of around 30%, startups can scale up by as much as 1,000 times.
Kerala has made notable progress in the software-as-a-service (SaaS) sector, which has seen major success in the country’s startup landscape. Yet, none of the state’s companies have entered the unicorn category so far. To address this gap, and to prepare for emerging technologies beyond SaaS, the Kerala Startup Mission is planning steps to take the state’s startup ecosystem to a new level.
Kerala is aiming to transform itself within the next ten years into a factory for deep-tech products that the world demands, built on science, technology, and AI. The Startup Mission has laid out a roadmap to the vision.
The plan is to nurture ten deep-tech startups that can each achieve an annual revenue of ₹1,000 crore within the next ten years. The ecosystem also aims to create 100 deep-tech companies. The Startup Mission has identified five key sectors to drive this ecosystem. To support its growth, an Emerging Technology Hub will be set up in Thiruvananthapuram at a cost of ₹500 crore.
The next ten years will focus on scaling innovation globally. District-level “Freedom Squares” will be set up to cluster startups with research institutes, medical colleges, and professional communities. Support measures include innovation grants, angel funding, co-working spaces, and exposure at international expos.
Healthcare and biotechnology, backed by leading institutions such as Sree Chitra Institute and the Rajiv Gandhi Centre for Biotechnology, will be a key deep-tech focus. Kerala’s spacetech ecosystem will leverage ISRO and allied centres, while renewable energy startups will explore next-gen solar, marine, and nuclear technologies. In digital media, augmented and virtual reality are seen as growth drivers, while food and agriculture startups are expected to build on Kerala’s diverse natural resources.
To broaden participation, Centres for Early Innovation are being set up in 200 schools, Fab Labs in 50 colleges, and even retired professionals will be encouraged to launch ventures under the “New Innings” scheme. A GPU cluster and an Agentic AI hackathon are also in the pipeline.
KSUM says Kerala has already proven its capacity in SaaS and hardware incubation through ventures like Maker Village and Netra Semi, which recently attracted a ₹107 crore investment. The next milestone, however, is global recognition through deep-tech breakthroughs.
“Kerala now has the ecosystem in place,” Ambika said. “The coming decade is about producing world-class entrepreneurs and companies.”
Kerala already has an ecosystem shaped by institutions such as ISRO, VSSC, LPSC, and IIST. The focus will be on areas including satellite communication, ground station services, low Earth orbit satellites, and data analytics.
In this sector, the expectation is for research-based startups that can go beyond solar power to discover new renewable energy sources and develop the technologies needed for them. Next-generation solar (perovskite cells), nuclear energy sources, smart grids, marine energy, and soil-based thermal systems will all come under the scope of research.
With the arrival of augmented, extended, and virtual reality technologies, creative interventions have become inevitable across sectors, far beyond cartoons and cinema. This field is expected to open pathways for innovative startups. Education, healthcare, workplaces, and town planning are among the areas where these technologies hold significant potential.
Kerala is home to a diverse natural wealth that includes coffee, tea, spices, cash crops, a wide variety of fruits, Ayurvedic medicines, and marine products. For startups that bring in modern farming methods, value-added products, and innovative marketing strategies, this sector offers vast potential.
To help beginners, 20 LEAP co-working spaces are available for office requirements, while the Research Innovation Network Kerala works to turn academic research with commercial potential into viable products. Startups are also given opportunities to take part in national and international expos. Through the Government as a Marketplace scheme, they can secure contracts worth up to ₹50 lakh without tenders and up to ₹3 crore through limited tenders.
Maker Village, the country’s first electronic hardware incubator, was set up jointly by Kerala Startup Mission, IIITMK (Indian Institute of Information Technology Kerala), and the Union Ministry of Electronics. From here, several startups are active, including in the defence sector. Companies such as iROV, Fuselage, and Kavli Wireless are among Kerala’s noteworthy achievements. Netra Semi, a semiconductor company that has secured an investment of ₹107 crore, is one of the most successful ventures to emerge from the Trust Park at the College of Engineering, Thiruvananthapuram.
Building on the success of its existing ecosystem, Kerala is now turning its focus towards the deep-tech startup sector. For this, there are plans to create decentralised, district-level clusters from the existing Innovation and Entrepreneurship Development Centres (IEDCs). Each cluster will include the district collector as a member.
These deep-tech innovation clusters will be formed by bringing together research centres, medical colleges, higher education institutions, and professional communities. Alumni from research institutes and professional colleges are also expected to be part of these clusters. To encourage collaboration and discussions, “Freedom Squares” are planned in each district as spaces dedicated to collective activity.
To encourage innovation from an early age, Centres for Early Innovation are being set up in 200 schools across the state. With the support of the general education department and Sarva Shiksha Kerala, 98 schools have already started functioning under this initiative. In addition, Fab Labs will be launched in 50 selected colleges.
A GPU cluster will be developed to support deep-tech companies, and an Agentic AI hackathon is also on the cards. Retired professionals over the age of 60, including those from institutions such as ISRO, will be encouraged to start ventures through a scheme called New Innings. For those working in social enterprise sectors, a dedicated Social Entrepreneurship Programme will be conducted.
The state government is preparing to set up startup pods, linking them with tourism centres, to enable startups from outside Kerala to come and work here. The project will be carried out in collaboration with Kerala Tourism. In connection with Kera, a World Bank-backed project, there will also be significant interventions in the agricultural sector.
In its first ten years, the focus of Kerala Startup Mission was on building the ecosystem and meeting its stated targets. The next decade, however, is about setting its sights on the global stage. Several leading deep-tech companies are already operating in Kerala. These include IBM’s generative AI centre, global capability centres of various firms, and dedicated research hubs.
Kerala, long known for producing skilled professionals, now seeks to make its mark internationally through entrepreneurial excellence as well. The message being put forward on World Entrepreneurship Day is one of determination and clarity of purpose in pursuing that goal.
