India’s space sector continues its rapid evolution, supported by notable private investments, strategic government initiatives, and ambitious long-term programs. The nation’s satellite launch program has grown significantly since 1979, spiking post-2010 to accommodate rising commercial and international demand. The Indian Space Research Organisation (ISRO), continues to spearhead this expansion, backed by its commercial units NewSpace India Limited (NSIL) and Antrix.
Beyond satellites, India is advancing its in-orbit servicing capabilities, showcased by the recent Space Docking Experiment (SpaDeX), and is channeling $2.32 billion into the Gaganyaan human spaceflight mission. These milestones pave the way for a national space station by 2035 and a lunar landing by 2040. Meanwhile, the private sector has drawn $415 million in funding since 2020, highlighting the nation’s growing stature in global space tech. From drone-borne radar solutions to laser-based communications and advanced aerospace components, the industry has expanded well beyond traditional satellite launches and has plans for more.
Recent Funding Highlights
Sisir Radar
Kolkata-based Sisir Radar recently secured $1.5 million in seed funding. Founded by former ISRO director Tapan Misra and team, the startup aims to launch a high-resolution L-band Synthetic Aperture Radar (SAR) satellite by 2026. Sisir Radar also develops drone-borne SAR, hyperspectral imaging, and ground-penetrating radar solutions.
Rangsons Aerospace
Bengaluru-based Rangsons Aerospace raised Rs 300 crore in a round led by ValueQuest Investment Advisors, with Anand Rathi Advisors as the financial advisor. Rangsons Aerospace intends to use the funds to expand operations in India, enter new international markets, and develop products for commercial and military aviation. The startup also plans to capture a significant share of India’s fluid-conveyance system market, estimated at Rs 20,000 crore, while forging deeper relationships with the Ministry of Defence and global aerospace partners. Rangsons currently supplies critical systems to Boeing, GE, Honeywell, ISRO, and the Indian Navy, among others.
Astrogate Labs
Also headquartered in Bengaluru, Astrogate Labs raised $1.3 million in pre-Series funding led by Piper Serica Angel Fund. The company specializes in laser communication terminals for satellites, aiming to address bandwidth constraints in low Earth orbit. Astrogate Labs plans to accelerate product development for space, terrestrial, and airborne use cases, while deepening partnerships with space agencies and defense organizations.
Astrome Technologies
Astrome Technologies, a startup with operations in Bengaluru and California, secured $10 million in a round led by Apollo Fund. The company plans to boost its millimeter-wave E-band radio products and expand into satellite communications, with a focus on improving global access to high-speed internet. Astrome’s flagship solution, GigaMesh, enhances 5G and upcoming 6G network rollouts with faster installations and cost-effective connectivity options in remote areas.
Government Initiatives and Policy Shifts
India’s public sector has actively encouraged private-sector participation. The Indian National Space Promotion and Authorisation Centre (IN-SPACe) recently introduced a 5 billion rupee (about $57 million) Technology Adoption Fund, offering up to 60% cost coverage for startups. This initiative aims to ease commercialization and strengthen local manufacturing capabilities.
The government’s 10 billion rupee venture capital fund for space startups, the privatization of launch vehicle contracts, and more liberal regulations are attracting both domestic and global players. The shift toward more accessible regulations for space activities stems from multiple policy changes designed to reduce entry barriers and encourage private-sector participation. Key elements include:
Streamlined Licensing via IN-SPACe
The Indian National Space Promotion and Authorisation Centre (IN-SPACe) offers a single-window clearance system, replacing what was previously a multi-agency authorization process. This structure accelerates approvals for private launches, satellite constellations, and downstream applications such as Earth observation and satellite broadband.
Easier Foreign Direct Investment (FDI)
While exact caps may vary by sub-sector, India has broadly relaxed FDI rules for space and satellite services, making it simpler for global corporations and investors to form joint ventures or invest directly in Indian enterprises. This openness aligns with the government’s goal of attracting global innovators to replicate the commercial space boom seen in the United States and Europe.
Privatization of ISRO’s Launch Capabilities
ISRO’s mainstay launch vehicles, such as the PSLV, are increasingly accessible to private manufacturers, operators, and consortiums. Awarding contracts for building or integrating these vehicles grants companies more autonomy, reducing dependence on government timelines and resources.
Dedicated Funds and Incubator Programs
Alongside the 10 billion rupee venture capital fund for space startups, other government-backed incubator and grant programs have emerged, offering financial support at earlier stages. These initiatives minimize risk for private companies developing novel technologies.
Jio–SES has already secured regulatory clearance to provide gigabit internet, while Starlink and Amazon’s Kuiper await final approvals. Analysts see these moves as pivotal for propelling India’s market to an estimated $77 billion by 2030.
Ambitious Programs and Milestones
ISRO’s Gaganyaan project represents a significant leap in human spaceflight for India, targeting a crewed mission in low Earth orbit with multiple precursor missions planned. Meanwhile, the proposed Bharatiya Antariksha Station aims to establish a national space station by 2035. Early modules could launch as soon as December 2023, enabling Indian astronauts to stay in orbit for months and conduct in-depth research.
Additionally, plans to send Indian astronauts to the Moon by 2040 underscore the country’s push toward advanced exploration. These initiatives follow several accomplishments, including docking experiments and a broader budget allocation for new technologies and missions.
Key Players in the Indian Space Sector
As India’s space ecosystem matures, a wave of private companies is establishing the nation as a contender in the space industry – addressing opportunities across the entire value chain—ranging from launch vehicles and satellite design to space situational awareness and data analytics. Below are some of the prominent players shaping the country’s upstream, midstream, and downstream segments.
Skyroot Aerospace
Skyroot Aerospace is an upstream company that designs and manufactures rocket engines and launch vehicles tailored for small satellites. Their flagship Vikram series of rockets (named after Dr. Vikram Sarabhai) features modular architectures capable of launching payloads up to 815 kg into low Earth orbit. Skyroot’s offerings include solid and liquid propulsion systems, high-strength composite stages, and cost-effective launch services for both commercial and scientific missions.
Agnikul Cosmos
Agnikul is an upstream company that builds customizable, two-stage rockets, notably Agnibaan, which can carry payloads up to 300 kg to orbits around 700 km high. Powered by LOX/Kerosene engines, the Agnibaan uses a fully 3D-printed propulsion system and a plug cluster architecture to reduce costs and increase launch flexibility. These innovations democratize access to space for small satellites while maintaining high industry standards for reliability.
Dhruva Space
Dhruva Space is an upstream company that specializes in designing and manufacturing small satellites for Earth observation, communications, and scientific research. Dhruva Space provides end-to-end solutions—from satellite bus design to payload integration and mission operations—enabling customers to deploy cost-effective, reliable spacecraft for various orbital applications.
Digantara
Digantara is a midstream company that focuses on space situational awareness with its Space–Mission Assurance Platform (Space-MAP). This one-stop solution aggregates multi-modal data sets—functioning like Google Maps for space—to improve orbital safety, traffic management, and astrodynamics research. Digantara’s platform addresses the growing need to manage space debris and congestion as more satellites reach low Earth orbit.
Pixxel
Pixxel is a downstream company that develops a constellation of hyperspectral Earth-imaging satellites that capture high-resolution data across a wide range of wavelengths. This granular imagery supports agriculture, environmental monitoring, and urban planning by revealing critical insights into land use, vegetation health, and resource management.
SatSure
Satsure is a downstream company that merges satellite imagery with weather, IoT, social, and economic datasets to produce actionable analytics for agriculture, infrastructure, and climate-related projects. By using machine learning and big data techniques, SatSure delivers timely, location-specific insights that help businesses and policymakers make informed decisions on large-scale resource management and development.
Sectoral Breakdown and Regional Hubs
Since 2020, India’s private space sector has attracted over $415 million in total funding. Upstream ventures (rocket and satellite development) lead in capital raised, while Downstream applications—particularly Earth observation data and analytics—also command a significant share. Bengaluru remains the top city for investments, having raised $215 million, thanks to its status as ISRO’s home base and a thriving tech cluster. Hyderabad follows with $125 million, driven by satellite and launch vehicle R&D.
Commercial entities currently account for 59% of India’s satellite launches, followed by civil and other agencies at 38%, and military missions at 3%. Within these launches, Earth Observation (42%) and Communications (31%) satellites dominate, aligning with growing demands for data-driven applications and broadband connectivity.
Why These Developments Matter
India’s space sector has progressed from primarily state-led projects to a vibrant landscape that welcomes private capital and entrepreneurial initiatives. Investors see opportunities in specialized segments ranging from advanced radar systems to innovative satellite communications and aerospace components. Founders and industry leaders can leverage the government’s recent funding mechanisms, procurement contracts, and policy reforms. Engineers, analysts, and consultants stand to benefit from a blossoming ecosystem rich in R&D collaborations and commercialization prospects.
Access to the Full Market Map and Analysis
This overview only scratches the surface of the evolving Indian space ecosystem. Access more information on the full market map and analysis, which offer detailed insights into funding trends, technology development, partnership opportunities, and competitive positioning here. Learn more here.
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