Mumbai, Jan 28 || India’s defence tech ecosystem recorded $247 million in funding in 2025, its highest annual inflow till date despite a lower number of deals, a report said on Wednesday.
The report from data intelligence platform Tracxn said total all‑time equity funding for the sector stood at $711 million across 232 rounds, and that annual funding rose from $5 million in 2016 to a peak of $247 million in 2025, the report said.
The report further said that the surge was driven largely by a $100 million mega round and featured dominance of non-combat systems and capital concentration among a small set of companies.
Despite a lower number of rounds in 2025 of 30 rounds, total funding nearly doubled year-over-year, due to a $100 million mega round.
"While seed-stage activity remains broad, late-stage funding continues to be limited, reinforcing the ecosystem’s progression toward execution-focused and platform-led defence capabilities," it said.