Deep-tech startup
Also called: Deep tech · Topic: Industrial Policy, Public Sector, MSMEs and Disinvestment · NCERT: Beyond NCERT
Meaning
A deep-tech startup is built on a real advance in science or engineering. Examples are artificial intelligence (AI), semiconductors (computer chips) and biotech. A business-model idea alone does not make a startup deep tech. These firms need a long gestation, meaning many years pass before they earn money. They also need heavy spending on research and development (R&D). So ordinary investors who want quick returns often avoid them, and they need patient capital and state support.
Example
A startup designing chips in India fits this category. It may spend years on research before its first sale. To support such firms, the government has a draft National Deep Tech Startup Policy and a proposed Deep Tech Fund of Funds.
Don't confuse with
- Tech-enabled startup: a food-delivery or e-commerce app uses technology but sells a service built on a business model. A deep-tech firm creates new technology itself.
Related concepts
- Startup
- Bootstrapping
- Seed funding
- Business incubator
- Startup accelerator
- Soonicorn
- Decacorn
- Hectocorn
- Reverse flipping
- Research and development intensity