Tamil Nadu Unveils ₹100 Cr Deep Tech Policy to Back 100 Startups

As India looks to move up the global technology value chain, Tamil Nadu is making an early and deliberate push into deep tech, where innovation cycles are longer, capital is patient, and outcomes can reshape entire industries.

At UmagineTN 2026, Chief Minister M.K. Stalin, Chief Minister of the Government of Tamil Nadu, unveiled the Tamil Nadu Deep Tech Startup Policy 2025–2026 (TNDTSP), positioning the state as the first in the country with a dedicated framework for deep and emerging technologies. The policy is designed to anchor advanced innovation within Tamil Nadu’s industrial base while supporting startups, MSMEs, and research institutions as the state works toward its $1 trillion economy ambition.

A Policy Aimed Beyond Quick Wins

Unlike conventional startup policies focused on rapid scale or consumer internet plays, Tamil Nadu’s deep tech approach targets long-gestation innovation, technologies rooted in scientific research, proprietary intellectual property, and large unmet market needs.

The policy sets out to support 100 deep tech startups and mobilise ₹100 crore in public and private investments, including venture capital and co-investments. Beyond capital, it aims to address a persistent gap in India’s innovation ecosystem: translating research into commercial outcomes.

To that end, the State plans to enable 10 technology transfer or licensing deals from academic and R&D institutions while driving a 25% increase in annual patent filings by deep tech startups.

iTNT Hub as the Single Window

Implementation will be anchored by the iTamil Nadu Technology (iTNT) Hub, which will act as the nodal agency for the policy. The Hub will coordinate initiatives, manage funds, and serve as a single point of contact for startups, investors, academia, and industry.

“The policy sets clear priorities to build a globally competitive deep tech ecosystem through targeted initiatives that position Tamil Nadu as a preferred destination for deep tech entrepreneurship,” said Palanivel Thiaga Rajan, Minister for Information Technology and Digital Services, Government of Tamil Nadu, in the policy note.

This single-window approach is intended to reduce friction for startups navigating funding, pilots, and government interfaces, an issue often cited by founders working in regulated or research-heavy domains.

Government as an Early Adopter

One of the more operational aspects of the policy is the proposed Government as Early Adopter Programme. Under this model, five government departments will pilot and validate deep tech solutions, each with an annual budget of ₹5 crore. The goal is to implement at least five proof-of-concept deployments or solution adoptions per department every year.

For deep tech startups, where real-world validation can be as critical as funding, access to government-led pilots could help bridge the gap between prototype and scale.

Skills, IP, and Market Access

The policy also places emphasis on talent and capability building. Over 10,000 students and professionals are expected to be trained in areas such as artificial intelligence, machine learning, robotics, and biotechnology, alongside the award of 10 research fellowships.

On the market side, Tamil Nadu aims to facilitate procurement of deep tech solutions worth ₹10 crore through public and private programmes, while supporting 50 startups with global market access via trade missions and international collaborations.

Eligibility for financial support requires a tangible presence in the state, either a registered office or active operations, with at least 25% of the workforce based in Tamil Nadu, reinforcing the policy’s focus on local economic impact.

Sector Focus With Long-Term Intent

The policy outlines sectoral priorities that align with Tamil Nadu’s industrial strengths, including semiconductors, electric vehicles, biotechnology, clean energy, aerospace, and space technology. Emerging areas such as quantum computing, photonics, and advanced materials are also included, alongside a govtech and social-impact lens for public-sector adoption.

By combining funding, infrastructure, skills, and early-market access, Tamil Nadu is signalling that deep tech is no longer peripheral to its growth strategy. Instead, it is positioning research-led innovation as a core pillar of industrial and economic planning, one that could define the State’s next decade of technology-led growth.