PSUs emerging as strong customer base for industry 5.0 startups

New Delhi: Indian PSUs open to adopting digital solutions are emerging as a promising customer base for industry 5.0 startups that are at the cusp of significant opportunities, says Barath Shankar Subramanian, partner at leading venture capital firm Accel.

With India emerging as a key manufacturing hub, startups have a golden opportunity to innovate alongside large enterprises, Subramanian said. “This is a pivotal moment for Indian startups to seize their advantage on the global stage. Indian startups stand on the brink of an Industry 5.0 revolution, driven by global demand for resilient and diversified supply chains,” he said. Put simply, Industry 5.0 is the new buzzword in industrialisation and automation with a combination of humans working alongside technology and AI leading to highly-efficient workplace outcomes. In the realm of enterprise software, particularly within manufacturing and industrial sectors, Indian startups find themselves on the cusp of “significant opportunities”, according to Subramanian.

Unlike their Western counterparts, these startups navigate a landscape relatively unburdened by legacy systems. This absence not only streamlines their go-to-market strategy but also fosters adaptability, allowing for innovative solutions to gain traction swiftly, Subramanian said. “Notably, Indian public sector undertakings are emerging as a promising customer base, with their growing openness to adopting digital solutions, as evidenced by the substantial average contract values reported by established players,” he added.