Startups & VC

The commitment creates an onshore launch capability that reduces Canada's dependence on foreign launch providers and transfers control over access to orbit to domestic operators and regulators. Sustaining sovereign launch access will require ongoing funding, industrial capacity and regulatory oversight, constraining near-term fiscal and policy choices.

Entities with any direct or indirect ownership links to citizens or firms in countries that share land borders with India must follow additional Department for Promotion of Industry and Internal Trade (DPIIT) reporting under a prescribed standard operating procedure. Proposals from such investors in specified sectors that still require government approval will be processed under an expedited 60-day approval timeline. The term "beneficial owner" will follow the Prevention of Money-laundering Act (PMLA), 2002 definition, where controlling ownership is entitlement to more than 10% of shares, capital or profits.

The allocation steers a large pool of public capital toward investments that require longer holding periods and higher upfront capital, tightening funding alternatives for ventures seeking quick exits. Investors and funds that do not align with deep-tech or manufacturing strategies will face greater difficulty accessing this source of patient capital.

The package totals ₹967 crore, split into ₹754.62 crore for fiscal incentives and concessions over five years and ₹212.50 crore earmarked for government interventions such as fellowships and other programmes. Sixteen incentives are proposed for companies locating in cities beyond Bengaluru, including nine newly added incentives; six major incentives are proposed for units located in Bengaluru. New measures include support for faculty development, recruitment assistance, talent-relocation reimbursements, electricity duty reimbursement, and property tax reimbursement. The policy targets AI and other emerging technologies and identifies Mysuru, Mangaluru, Hubballi‑Dharwad, Belagavi, Tumakuru, Kalaburgi, and Shivamogga as emerging investment cities, with sector targets set through 2030.