India Poised to Become Global Hub for IP-Led Innovation: Accel Partner Prashanth Prakash
Prashanth Prakash, partner at venture capital firm Accel, expressed confidence that India has the potential to emerge as a global hub for intellectual property (IP)-led innovation, highlighting limitless opportunities for entrepreneurs across various sectors.

Speaking in an exclusive interview with PTI, Prakash pointed out that Accel, which recently launched a USD 650 million fund, plans to invest in start-ups focused on AI, tech-led industrialisation, and other high-growth sectors. The firm is targeting 20-25 investments in start-ups this year and expects to deploy its new fund over the next two to three years.

Prakash noted that the Indian start-up ecosystem has reached a “sweet spot,” where entrepreneurs are increasingly well-versed in building the right products, while investors understand the types of start-ups that can succeed. This shift has resulted in a more stable and aligned ecosystem, particularly in the post-Covid era.

“I believe there’s no better time than now for entrepreneurs to begin,” Prakash said. “The sectors impacted by start-ups have grown tenfold and are becoming increasingly multi-dimensional.”

Despite concerns about potential US tariffs, Prakash emphasized India’s strength in positioning itself as a leader in IP-driven innovation and high-value manufacturing, particularly in defence, electric vehicles (EVs), aerospace, and energy. India’s vast talent pool, coupled with its start-up agility and growing global supply chain integration, provides a solid foundation for this vision.

Prakash also highlighted the significant role of AI and tech-led industrialisation, noting that start-ups are well-positioned to drive innovation in smart sectors like sustainability, EVs, aerospace, and space technology.

Accel’s focus on AI is also evident in its recent investments in over 27 AI start-ups in India. Prakash sees AI as a transformative force that will disrupt enterprises and create vast new opportunities, particularly as Indian start-ups leverage their capabilities to build applications on foundational AI models.

In addition to AI, Prakash expressed optimism about the potential of deep-tech-led industrialisation, where AI intersects with physical asset-based manufacturing. He pointed to defence innovation as a key area, urging start-ups to leverage government programs like iDEX (Innovations for Defence Excellence) and investor support for innovations in this space.

Prakash’s bullish stance on India’s industrialisation potential is reflected in his strong belief that the country can become a leader in manufacturing EV components and other critical products. “India can play a major role in building components for the global EV ecosystem, competing with established players like BYD,” he noted.

With Accel’s impressive track record of supporting high-impact start-ups in sectors like e-commerce, SaaS, and manufacturing, Prakash remains optimistic about India’s ability to fuel the next wave of innovation, driving the nation toward greater economic transformation.

Accel’s recent initiatives, such as the open-source SeedToScale platform and Accel Atoms early-stage scaling programme, are designed to support start-ups by providing access to valuable knowledge and insights from successful founders and industry leaders.