Delhi NCR vs Bengaluru Startups: Which One Is Doing Better?

India’s startup scene has been on fire lately, with Delhi NCR vs Bengaluru startups leading the charge. But which city is truly ahead? Let’s break it down and see how these two startup giants stack up against each other.

Delhi NCR vs Bengaluru Startups: Comparative Snapshot

Here’s a quick look at how Delhi NCR and Bengaluru stack up against each other-

In the next sections, we will look into the details.

Funding Overview

• Bengaluru: Bengaluru is often hailed as the Silicon Valley of India, and for good reason. Since the beginning of 2021, Bengaluru startups have secured a whopping $26 billion in funding. That’s nearly half of the total funding that has flowed into the entire country. Impressive, right? The city has earned its reputation as a startup magnet, thanks to its thriving ecosystem of investors and tech talent.
• Delhi NCR: Delhi NCR, not to be left behind, has also seen significant funding. Over the same period, startups in Delhi NCR attracted around $12 billion. While this is substantial, it’s about half of what Bengaluru has garnered. But don’t count Delhi NCR out just yet—it’s catching up fast and showing promising signs of growth.

Average Ticket Sizes

Let’s talk ticket sizes—no, not movie tickets, but investment tickets! Bengaluru’s average ticket size is around $41.5 million. That’s quite a hefty sum. On the other hand, Delhi NCR’s average ticket size stands at $29.6 million. Bengaluru’s larger ticket sizes reflect its capacity to attract bigger investments.

But here’s a twist- Delhi NCR’s average ticket size peaked higher than Bengaluru’s in Q3 2021, reaching $69.2 million compared to Bengaluru’s $61.6 million. So, while Bengaluru has a higher average overall, Delhi NCR had its moment of glory.

Number of Startups and Deals

Both cities are buzzing with startups. Between April 2019 and December 2021, Delhi NCR welcomed over 5,000 new startups. Bengaluru, while slightly behind, saw the addition of 4,514 startups. 

When it comes to funding deals, Bengaluru again takes the lead with an average of 142 deals per quarter. It even hit a high of 179 deals in Q3 2021. Delhi NCR, on the other hand, averaged just over 114 deals per quarter, peaking at 143 deals in Q4 2021. Bengaluru’s higher number of deals indicates a more active funding environment.

Ecosystem & Innovation

• Bengaluru: Bengaluru has earned its reputation as the go-to city for tech startups. The city’s dense network of tech talent, investors, and entrepreneurs creates a fertile ground for innovation. Think of it like a giant startup playground where everyone is working on the next big thing. The ecosystem here is likened to San Francisco, famous for its networking effects and entrepreneurial energy.
• Delhi: Delhi NCR has been rapidly emerging as a significant player. While Bengaluru might be the go-to for many tech-focused startups, Delhi’s startups are making headlines with successful exits. Companies like Paytm, Zomato, and Delhivery are shining examples of Delhi NCR’s growing influence. 

Talent & Culture

Bengaluru’s startup scene is known for its heavy emphasis on tech expertise and high-profile hires from big tech companies. This focus on technical skills and structure is a double-edged sword—it creates a solid foundation but sometimes leads to a narrow focus on technicalities rather than a broader business strategy.

In contrast, Delhi NCR’s startups are recognized for their resilience and ability to pivot quickly. The talent pool here is less likely to jump ship, which helps build a more stable team. Delhi startups are also known for hitting the real world quickly, adapting swiftly to market demands, and showing a remarkable ability to bounce back from setbacks.

Challenges & Opportunities

• Bengaluru: Despite its success, Bengaluru isn’t without its problems. The city faces issues like water shortages and traffic congestion. But, as they say, where there’s a will, there’s a way. The strong startup ecosystem continues to attract entrepreneurs despite these challenges.
• Delhi NCR: Delhi NCR also has its share of challenges, including a less developed tech infrastructure compared to Bengaluru. However, its dynamic market and growing number of successful startups offer a promising outlook. The city’s startup scene is rapidly evolving, and it’s starting to show real results.

Future Outlook

So, what’s next for these two startup giants? Bengaluru’s established ecosystem and higher funding advantages make it a strong contender for future success. Its dense network and significant investment influx provide a solid foundation for growth.

Delhi NCR, on the other hand, is quickly catching up with its increasing number of startups and notable public listings. The city’s entrepreneurial spirit and adaptability suggest it will continue to be a major player in the startup ecosystem.

Note: We have already explained the “10 highest revenue-generating startups of India 2023.” You can go through the article for more details.

Final Words

So, who’s the winner? If you look at funding and deal metrics, Bengaluru holds the top spot with its massive funding amounts and high average ticket sizes. But Delhi NCR isn’t far behind—its rapid growth, successful startups, and resilient entrepreneurial culture make it a strong contender.

Both cities offer unique strengths and opportunities. Bengaluru remains the go-to for high-tech investments and a mature startup ecosystem, while Delhi NCR is proving its worth with a dynamic market and impressive growth. If you’re eyeing a startup destination or investment opportunity, both cities have something exciting to offer.