In a landmark partnership aimed at accelerating India’s deep-tech innovation, global venture capital firms Accel and Prosus have joined forces to co-invest in early-stage Indian startups through Accel’s Atoms X program. Announced on October 26, 2025, the alliance will provide combined investments of up to $2 million per startup ($1 million each from Accel and Prosus), targeting ventures in AI-driven automation, advanced manufacturing, energy transition, robotics, and other LeapTech domains.
This collaboration—Prosus’s first global early-stage co-investment alliance—aims to bridge the funding gap for deep-tech founders solving systemic challenges aligned with India’s Atmanirbhar Bharat and IndiaAI Mission.
Partnership Structure and Investment Focus
Deal Terms
- Investment Size: $200,000–$2 million per startup
- Funding Split: Accel and Prosus to contribute equally (50:50)
- Stage Focus: Pre-seed to Seed-stage deep-tech innovators
Target Sectors (LeapTech)
- AI & Automation: Intelligent systems for industry and governance
- Advanced Manufacturing: Smart factories and industrial IoT
- Energy Transition: Green hydrogen, grid optimization, and storage
- Robotics & Drones: From agricultural automation to urban air mobility
- Semiconductors & Electronics: Chip design and embedded systems
Why This Partnership Matters for Indian Deep-Tech
Addressing Critical Gaps
- Early-Stage Risk: Deep-tech startups often struggle to secure early backing due to long R&D cycles and capital intensity.
- Mentorship & Scale: Combines Accel’s early-stage expertise with Prosus’s global scaling experience.
Strategic Synergies
- Track Record: Shared portfolio successes include Swiggy, Meesho, and PayU.
- Network Access: Startups gain exposure to Prosus’s global ecosystem and Accel’s founder community.
Statements from Leadership
Pratik Agarwal, Partner at Accel
Representative from Prosus
“Our first early-stage co-investment alliance reflects our confidence in India’s potential to lead in deep-tech. We’re excited to support founders tackling challenges at a systems level.”
Noteworthy Startups in the Atoms X Pipeline
While the full portfolio is evolving, emerging innovators include:
- Sarla Aviation: Developing electric vertical take-off and landing (eVTOL) vehicles for urban mobility.
- Posha Robotics: Automating commercial kitchens with AI-powered robotics.
- Unnamed Cleantech Ventures: Focused on energy storage and grid resilience.
Market Context: India’s Deep-Tech Momentum
Funding Landscape
- Global Surge: Deep-tech investments exceeded $80 billion in 2024–2025.
- India’s Share: Accounts for 6–8% of global deep-tech funding, with rapid growth in AI, spacetech, and energy.
Policy Support
- IndiaAI Mission: $1 billion+ allocated for AI infrastructure and startups.
- National Deep Tech Startup Policy (NDTSP): Simplifying regulations and boosting R&D grants.
Benefits for Portfolio Startups
Capital and Beyond
- Mentorship: Hands-on guidance from Accel’s operational partners and Prosus’s global team.
- Global Access: Pathways to international markets and customers.
- Talent Network: Recruitment support for technical and leadership roles.
Sector-Specific Advantages
- Hardware Startups: Prototyping grants and manufacturing partnerships.
- AI Ventures: Cloud credits and compute infrastructure support.
Application and Selection Process
Eligibility Criteria
- Founder Profile: Technical experts with domain expertise.
- Innovation Bar: Solutions offering 10x improvements in efficiency, cost, or accessibility.
- India Focus: Startups headquartered in India, building for local and global impact.
Selection Timeline
- Rolling Applications: Accepted via Accel’s Atoms X portal.
- Pitch and Diligence: Multi-stage review by both Accel and Prosus teams.
- Onboarding: Selected startups receive funding, mentorship, and ecosystem access.
Impact on India’s Startup Ecosystem
Job Creation and Skill Development
- Direct Employment: Roles in R&D, engineering, and operations.
- Indirect Impact: Growth in ancillary sectors like semiconductor fabrication and advanced materials.
Global Competitiveness
- Export Potential: Indian deep-tech solutions addressing global challenges.
- Investor Confidence: Signaling effect for other global VCs to enter early-stage deep-tech.
Future Vision and Expansion Plans
Portfolio Goals
- 2026–2027: Back 15–20 startups across target sectors.
- 2028–2030: Cultivate 2–3 category leaders with global recognition.
Strategic Partnerships
- Research Institutions: Collaboration with IITs, IISc, and ISRO.
- Corporate Allies: Pilot deployments with manufacturing and energy majors.
Conclusion: A Leap Forward for Indian Deep-Tech
The Accel-Prosus alliance represents a watershed moment for India’s deep-tech ecosystem. By providing patient capital, mentorship, and global networks, it empowers founders to tackle audacious challenges—from decarbonizing industries to advancing AI-native infrastructure.