India is third-largest hub for Unicorns after US and China

The startups ecosystem in India had been growing at a decent pace in India. While the number of tech startups has increased in the past few years, a noticeable amount of them are growing big and achieving their true potential.

India has emerged as third largest startup ecosystem with 21 Unicorns, as per the inaugural Hurun Global Unicorn List 2019. Indian startups that figured in the list of Unicorns included One97 Communications’ Paytm ($10 billion), cab aggregator Ola Cabs ($6 billion), online educator Byju’s ($6 billion), and hospitality brand OYO ($5 billion).

The report listed startups that became Unicorns before June this year. In the last three months, India added four more Unicorns.

China now has more privately held start-ups valued by investors at over US$1 billion (S$1.36 billion) than the United States, a report said on Monday (Oct 21). There were 206 Chinese firms out of a global total of 494 ultra-valuable start-ups – known as “unicorns” – in June, according to the research firm Hurun Report. This makes China the country with the largest number of unicorns in the world, with the US coming in second with 203 such companies.

India can catch up with top two nations, only if the regulatory and business environment are poised to capture the demographic dividend, said Anas Rahman Junaid, Chief Researcher, Hurun Global Rich List.

With a valuation of $150 billion, China-based Ant Financial emerged as the most valuable startup in the world. Beijing-based content discovery platform ByteDance and cab-hailing platform Didi Chuxing were the most valuable second and third Unicorns in the world. From the US, Infor, JUUL Labs, Airbnb and SpaceX, WeWork and Stripe figured in top ten.

Major US names like Airbnb and co-working space operator WeWork also made the list, which included lesser-known start-ups like California-based automated pizza delivery company Zume and Indian fantasy sports platform Dream11.

A report released in June by another research firm, Visual Capitalist, found only 94 unicorns from China compared to 156 from the US, based on data from May.
Among investors, Sequoia came up as the most successful investment platform with an investment in one in five of the world’s Unicorns. It was followed by Softbank, Tencent, Tiger Global, IDG and Goldman Sachs.

As per the report, globally, there are 494 unicorns based in 25 countries and 118 cities. All the startups are worth $3.4 billion on average and $1.7 trillion in total.

These are the industries that are disrupting the world economy, initiating the Fourth Industrial Revolution, and widely considered to hold the key to the future, said Rupert Hoogewerf, Hurun Report chairman and chief researcher.

Additionally, a number of companies on the list were formerly units of larger companies that had been split off.

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