Hyderabad : Endiya Partners today released the Hyderabad Startup Readiness Index 2026, part of the Hyderabad Innovation Report 2026, revealing that Hyderabad’s startup ecosystem is entering a new phase of growth. While the city has built strong foundations for startup creation through its infrastructure, talent and cost competitiveness, the Index identifies access to growth capital and market expansion as the next priorities for enabling startups to scale. Based on responses from 216 founders, investors, corporates and ecosystem stakeholders, the Index recorded an overall ecosystem confidence score of 6.5 out of 10.
The survey found that infrastructure and connectivity (43%) remain Hyderabad’s biggest competitive advantage, followed by talent availability (38%) and cost efficiency (36%), reinforcing the city’s position as one of India’s most attractive destinations for building startups. However, respondents identified access to capital (33%) and market access (29%) as the areas requiring the greatest attention, signalling that the ecosystem’s priorities are evolving from enabling startup creation to helping companies expand and compete at a global scale.
The findings build on the Hyderabad Innovation Report 2026, which chronicles Hyderabad’s transformation into one of India’s leading innovation ecosystems over the past decade. The report highlights that the city is now home to 10,000+ startups, has attracted over $3 billion in venture funding across 384+ deals since 2014, hosts 355+ Global Capability Centres (GCCs) accounting for nearly 20% of India’s GCC base, and has emerged as the country’s second-largest technology talent hub. Against this backdrop, the Startup Readiness Index identifies the next set of priorities that will shape Hyderabad’s continued growth.
The Index also captures distinct perspectives across stakeholder groups. Founders highlighted challenges that vary across different stages of the funding journey, while investors identified capital availability across multiple funding stages as a key constraint. Ecosystem enablers remained among the most optimistic respondents, citing Hyderabad’s collaborative environment and institutional support as enduring strengths. Despite these differing perspectives, respondents broadly agreed that improving access to capital, expanding market opportunities and enabling startups to scale will define the ecosystem’s next phase.
Commenting on the findings, Sateesh Andra, Managing Partner, Endiya Partners, said, “The Hyderabad Innovation Report captures how far the city has come over the last decade. The Startup Readiness Index looks ahead to where it needs to go next. Hyderabad has built strong foundations through talent, infrastructure and institutional support. The next phase will depend on enabling more companies to scale through deeper pools of growth capital, stronger market access and continued collaboration across founders, investors, corporates and policymakers. That’s how Hyderabad will create the next generation of globally relevant companies.”
Chaitanya Peddi, Co-Founder, Darwinbox, said, “Hyderabad’s greatest strength is that it allows founders to think long term. The city combines exceptional engineering talent, deep enterprise know-how, and the operating discipline needed to build enduring companies. Darwinbox is a product of that ecosystem. What was once primarily a talent hub is now producing globally competitive technology companies, and the next decade will firmly establish Hyderabad as one of the world’s leading innovation ecosystems.”
The Hyderabad Startup Readiness Index 2026 concludes that Hyderabad has successfully established the foundations of a thriving innovation ecosystem. As the city enters its next phase of growth, strengthening capital formation, improving market access and fostering deeper collaboration across the ecosystem will be critical to building globally competitive companies and sustaining Hyderabad’s innovation momentum.
