Venture-capital firm Accel has joined hands with Prosus to co-invest in early-stage Indian startups working on breakthrough technologies such as robotics, advanced manufacturing, and artificial intelligence (AI).
Through Accel’s Atoms X program, both investors will match funding of up to $2 million each for companies that require longer development timelines than traditional software ventures. These firms describe such startups as LeapTech companies.
“Technology is one way to achieve breakthroughs, but so are product- and business-model innovations. We want to back ideas that create a step-function transformation in the market—in cost, access, or performance,” said Pratik Agarwal, partner at Accel. This partnership marks Prosus’ first global co-investment of its kind, through which the firm aims to back companies that may take 10–15 years to mature but can eventually lead their sectors through deep technical differentiation.
“This is Prosus’ first collaboration of its kind globally. Accel is a natural partner to join hands with,” said Ashutosh Sharma, head of the India ecosystem at Prosus. “We see extraordinary potential in LeapTech founders building from science and engineering first principles to solve global problems.”
Agarwal noted that India’s circumstances differ significantly from economies like the United States or China, citing its vast population, scarce resources, and strong frugal innovation culture. “To become a developed nation, we must demonstrate innovations that create affordable excellence at population scale,” he said.
They added that India has already seen powerful examples of LeapTech innovation through platforms such as Jio and the Unified Payments Interface, and now in sectors like quick commerce. This approach is also transforming advanced manufacturing, accelerating clean energy adoption, and driving AI-powered automation.
Both investors will deploy capital directly from their respective funds and will co-invest in every LeapTech startup. The initial cheque size can go up to $1 million per fund, while follow-on rounds will depend on each investor’s independent mandates.
“With this partnership, we can collectively support founders from early ideas to late stage,” Sharma said.
The two firms have previously backed Wiom—an internet-infrastructure startup enabling affordable broadband through a tech-driven, asset-light model that partners local internet providers. Accel has also invested in Posha, a kitchen robotics venture, and Sarla Aviation, which is developing flying taxis.
Posha builds an AI-powered countertop robot that can cook meals autonomously by following recipes and adjusting ingredients and heat.
According to Agarwal, Sarla Aviation gained access to R&D centers, testing infrastructure, and policy networks through their ecosystem support. “These startups needed capital, credibility, and connections much earlier in their lifecycle,” he added.
In 2024, deep-tech startups worldwide drew more than $80 billion in venture capital, with India accounting for approximately 6-8 percent of total deal volumes, based on PitchBook and Bain data.
Accel has supported over 40 startups through its Atoms program so far, and nearly 30 percent of them have raised additional capital from external investors.
Although deep-tech ventures may take a decade or more to achieve commercial scale, Agarwal compared their growth trajectory to bamboo—growing invisibly at first before rising sharply.
“Once they take off, they scale up disproportionately and often dominate their categories because they’re unique,” said Agarwal. Sharma added that the partnership is designed to improve risk-adjusted returns and said he hopes to bring other venture investors on board as well.
“Everyone is open to joining in future rounds. But for the first round, it’ll just be the two of us,” he said.
