India's Defence Tech Sector Soars to Record $247 Million Funding in 2025: Tracxn Report
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News18•28-01-2026, 21:00
India's Defence Tech Sector Soars to Record $247 Million Funding in 2025: Tracxn Report
- •India's defence technology sector achieved a record annual capital inflow of USD 247 million in 2025, according to a Tracxn report.
- •The sector's cumulative funding has reached USD 711 million, indicating a shift towards larger investments and execution-driven capabilities.
- •Funding surged from USD 5 million in 2016 to USD 247 million in 2025 YTD, with Raphe mPhibr's USD 100 million Series B round significantly contributing.
- •Top five companies absorbed 53% of all funding, reflecting investor focus on future defence platform anchors.
- •Non-combat systems are preferred by investors, accounting for 78% of capital, while Bengaluru, Noida, and Chennai lead in geographical funding.
Why It Matters: India's defence tech sector hit a record $247 million funding in 2025, driven by strategic investments and policy reforms.
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