IIT Madras Unveils INR 200 Cr Alumni-Driven Fund to Boost Deeptech Startups
Introduction
The Indian Institute of Technology (IIT) Madras is set to launch a INR 200 Cr venture capital fund, named the ‘IITM Alumni Fund,’ to propel early-stage startups, with a sharp focus on deeptech innovation. Announced during the institute’s annual alumni gathering, Sangam 2025, held in Bengaluru, this initiative underscores IIT Madras’ commitment to nurturing the next generation of high-impact entrepreneurs.
Table of Contents
Fund Structure and Investment Focus
Independent Entity with a Deeptech Vision
The IITM Alumni Fund will operate as a standalone legal entity, adhering to standard venture capital protocols. It will primarily target startups at the pre-Series A and Series A stages, with a particular emphasis on those incubated within IIT Madras’ ecosystem. The fund aims to channel capital into deeptech ventures, a sector where IIT Madras has already established a strong track record.
Alumni and HNI Contributions
The bulk of the fund’s corpus is expected to come from IIT Madras’ vast alumni network and high-net-worth individuals (HNIs). This alumni-driven approach not only leverages the institute’s global community but also fosters a sense of collective ownership in supporting innovative startups.
IIT Madras’ Startup Legacy
A Hub for Unicorns
IIT Madras has a storied history of producing successful startups, including electric vehicle giant Ather Energy and AI unicorn Uniphore. Notably, during Ather Energy’s initial public offering (IPO) in 2025, IIT Madras earned approximately INR 1.13 Cr by divesting 35,241 shares, highlighting the financial potential of its startup ecosystem.
Incubation and Support Ecosystem
The institute has incubated over 500 startups, collectively valued at more than INR 50,000 Cr (approximately $6 Bn). Through its Incubation Cell, IIT Madras provides startups with funding, mentorship, workspaces, and access to a robust network of industry connections. Specialized initiatives, such as the Pravartak Technologies Foundation and the Centre of Excellence in Sports Science and Analytics (CESSA), offer targeted support, particularly in fields like sports tech, with investments of up to INR 5 Cr per startup in exchange for equity.
Strategic Goals and Vision
Fueling the Next Wave of Unicorns
The IITM Alumni Fund is a cornerstone of IIT Madras’ ambitious Startup Shatam programme, which aims to launch 100 deeptech startups annually. “Our goal is to raise INR 200 Cr through alumni contributions to back promising startups and drive collective growth,” said V Kamakoti, Director of IIT Madras, during the Sangam 2025 event. “This fund aligns with our vision to create a vibrant ecosystem for deeptech innovation.”
Strengthening India’s Deeptech Landscape
By focusing on deeptech, the fund seeks to address complex challenges in sectors such as artificial intelligence, clean energy, and advanced manufacturing. This aligns with India’s broader push to become a global hub for cutting-edge technology and innovation.
Conclusion
The IITM Alumni Fund marks a pivotal step in IIT Madras’ mission to empower entrepreneurs and reinforce its position as a leader in India’s startup ecosystem. By leveraging its alumni network’s financial and intellectual capital, the institute is fostering deeptech innovation, building on its legacy of unicorns like Ather Energy and Uniphore. Through the Startup Shatam programme, the fund aims to drive the growth of high-impact startups, positioning India as a global deeptech leader while addressing pressing global challenges through collaboration and strategic investments.
Last Updated on Tuesday, July 8, 2025 2:54 pm by Siddhant Jain
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