Bengaluru world's fastest growing tech hub, London second: Report

Bengaluru has emerged as the world's fastest growing mature tech ecosystem since 2016, with Mumbai coming in at sixth place, according to Dealroom.co data analysed by London& Partners. Investment in Bengaluru grew 5.4 times from $1.3 billion in 2016 to $7.2 billion in 2020, the report said. Bengaluru also ranked sixth for the most tech venture capitalist investments globally.

Bengaluru has emerged as the world's fastest-growing mature tech ecosystem within the world since 2016, followed by London, Munich, Berlin and Paris, with India's financial centre of Mumbai in sixth place, consistent with new research released in London on Thursday.

Dealroom.co data analysed by London & Partners, the Mayor of London's international trade and investment agency, reveals that investment within the Karnataka capital of Bengaluru grew 5.4 times from $1.3 billion in 2016 to $7.2 billion in 2020, with the Maharashtra capital of Mumbai growing 1.7 times from $0.7 billion to $1.2 billion within the same period.

“It’s fantastic to see that Bengaluru and London ranked as the top two fastest-growing global tech hubs for VC investment. Our two great cities share mutual strengths in entrepreneurship and innovation – creating lots of opportunities for tech investors and companies to do business across both regions,” said Hemin Bharucha, chief representative of India at London & Partners.                              London has a strong trade and investment relationship with cities across India, and today's figures show the opportunities for future partnerships between UK and India on technology. Despite the pandemic, tech companies in London and India are continuing to lead the way in creating game changing technologies especially in high growth sectors such as Edtech and Fintech," he said.

"It has been exciting to be part of Bengaluru's emergence as a world-class tech hub. From here, we expanded our business operations into London in May last year, as well as into the Middle East and America markets. London is a global tech hub with access to a thriving tech talent pool alongside growth capital and a wide customer base. We are excited to grow our business in the city," said Anant Agarwal, Managing Director, Skillmine. Moreover, in global rankings for tech venture capitalist investments, Bengaluru ranked sixth in a list topped by Beijing, with San Francisco, New York, Shanghai and London making up the top five. Mumbai came in at the 21st spot in this ranking. 

Beyond Bengaluru, Delhi NCR and Mumbai, among the startup hubs in India, Chennai has seen the most number of deals in the past four years with 220 funding rounds among 145 startups as per our exclusive analysis. The southern Indian city is followed by Pune, Hyderabad and other cities.