The Maharashtra technology ecosystem recorded total funding of USD 2.5 billion in 2025, reflecting a marginal 6 percent decline from the USD 2.7 billion raised in 2024. While overall capital inflows moderated, the year marked a notable shift in investment patterns, with investors reallocating capital away from late-stage deals toward early and mid-stage companies. The trend pointed to a growing focus on long-term asset creation rather than sustaining valuations of mature startups.

According to insights released by Tracxn on the Maharashtra Tech ecosystem for 2025, funding activity during the year showed clear variation across stages, sectors, and cities. The report highlighted changes in investor behaviour, deal sizes, and exit routes, alongside developments in unicorn creation, public listings, and acquisitions across the state’s technology landscape.

Early-stage funding emerged as a key growth driver in 2025, rising sharply by 50 percent to reach USD 1.3 billion, compared to USD 874 million in 2024. This growth contrasted with the broader funding slowdown and allowed early-stage investments to surpass late-stage volumes. “Investors appear to be prioritising scalable business models with strong fundamentals at earlier stages,” the report noted, signalling renewed confidence in building new enterprises rather than defending existing portfolios.

In contrast, seed-stage funding declined to USD 251 million, down 22 percent from the previous year, while late-stage funding dropped more sharply to USD 963 million, a fall of 36 percent compared to 2024. These declines suggest a more selective approach by investors at both ends of the funding spectrum, as market conditions remained disciplined.

Sector-wise, capital flows favoured businesses linked to the real economy. Retail technology led funding volumes with USD 833 million raised in 2025, marking a 50 percent increase year-on-year. Fintech followed with USD 667 million, showing a decline from 2024 but remaining above 2023 levels. Enterprise applications attracted USD 606 million, though funding in the sector fell compared to the previous two years. Large funding rounds in companies such as GreenLine and Infra.Market highlighted investor preference for infrastructure-heavy and operations-focused models.

The ecosystem saw four funding rounds exceeding USD 100 million during the year, involving GreenLine, Infra.Market, Raise, and Snapmint. GreenLine raised USD 275 million in a Series A round, while Infra.Market secured USD 222 million in a Series F round. Raise also crossed the USD 100 million mark, reinforcing the continued availability of large cheques for select high-quality assets.

Maharashtra’s startup landscape also broke its unicorn drought in 2025, with the creation of two new unicorns—Raise and JSW One MSME—after none were added in 2024.

Public markets gained importance as an exit route, with nine technology companies listing in 2025, an 80 percent increase over the previous year. Seshaasai and Electronics Bazaar were among the notable IPOs. Acquisition activity remained steady, with 33 deals recorded, led by the USD 516 million acquisition of Magma General Insurance.

Mumbai continued to dominate as Maharashtra’s primary funding hub, accounting for 63 percent of total capital raised, followed by Pune with a 23 percent share. Together, the two cities remained central to the state’s technology-driven growth in 2025.

Investor participation remained active across stages, with Inflection Point Ventures, Venture Catalysts, and Antler leading seed-stage deals, Bessemer Venture Partners, Elevation Capital, and Vertex Ventures emerging as key early-stage backers, and Sofina standing out as the most active late-stage investor in Maharashtra’s technology ecosystem during 2025.