Investors hit the road as India's startup story moves beyond metros

NEW DELHI -- A growing tribe of private equity and venture capital investors is heading to India's hinterland amid a rise in local tech talent coupled with improving infrastructure, increasing Internet penetration and lower operational expenses.

According to data available from research firm Tracxn, startup funding in third-tier cities has been steadily rising and in 2023 stood at $59.7 million despite a slowdown in overall funding amid macroeconomic uncertainties.