DeepTech will be at the center of the next wave of information disruption

Deep technology (hard tech) is a type of organization, or more commonly a start-up company, whose stated goal is to provide technology solutions based on significant scientific or engineering issues. They create difficulties that necessitate extensive research and development as well as a sizable capital investment before they can be successfully commercialized. They are tasked with resolving the world's most difficult problems. DeepTech businesses are those whose business models are founded on high-tech innovation that makes use of current technological advancements in a variety of fields.

DeepTech solutions are currently being used by 19 percent of tech start-ups to establish product competencies for market expansion. Technical risk is the most significant risk in a deep tech or hard tech company, but the market risk is frequently substantially smaller due to the potential value of the solution to society. Deep tech and hard tech companies solve underlying scientific or engineering difficulties that generate a valuable intellectual property that is difficult to replicate.

Without a question, India has undergone a digital transformation during the previous decade. The ecosystem of technology start-ups has experienced rapid expansion. The question is, "Where does this leave Indian IT entrepreneurs, investors, and corporations?" Deep technologies will be at the center of the next wave of information disruption, thanks to the ongoing technological revolution. It's also the next big thing that companies and venture capitalists are eager to get their hands on. So, the question now is if DeepTech companies are displacing commercial applications, which were previously led by institutions, corporations, and the government. First, let's examine it more closely.

Deep technology can generate new markets and disrupt old ones. Innovators and investors interested in advancing this technology often see the world through one of the following lenses:

• Science and technology(such as quantum computing)
• Industry (such as advanced manufacturing or Industry 4.0) problem (such as skin cancer cure)
• The great challenge (such as clean energy generation and climate change)

Why is DeepTech different? 

It's all in the realm of science! Its origins may be traced back to R&D. (R&D). DeepTech takes a scientific breakthrough or discovery and rebuilds everything from the ground up. Product-market fit isn't about A/B testing features and stages for DeepTech firms. It entails running iterative tests with the technology and applying it to real-world scenarios. It also entails navigating scientific domains and intellectual property that may be responsible for the shift. DeepTech has extended gestation periods as a result of this. It might take months or decades for a technology to be ready for commercialization, depending on the idea.

The attractiveness of DeepTech businesses is also well-known among investors. Investment firms have been at the forefront of finding and supporting start-ups focusing on drones and robotics, Agritech, cybersecurity, and API-driven businesses in recent years. DeepTech firms with high scalability and commercial feasibility include the following:

• Accio Robotics, an automation company for solving problems related to material handling
• BurnCal's computer vision-based fitness platform for engagement between yourself and the coach.
• Datasutram, an AI-based platform to provide location-based data intelligence
• ai, a growing video ecosystem.

DeepTech's obstacles originate from the intricacies of the technology commercialization process, and they may be divided into three groups: a long timetable, a lack of social and physical infrastructure, and a lack of finance. Enabling successful cross-sectoral collaboration reduces barriers and increases opportunity. Corporations, DeepTech VC firms, academia, and the government are all forming open innovation collaborations.

DeepTech Ecosystem in India:

With a young population, increased connectivity, the emergence of corporate firms, and start-ups building deep technological solutions, India's vantage points are unique. Using deep technology to increase growth in fields such as healthcare, education, industry and manufacturing, and other areas is becoming more of a need than an option. India is quickly establishing itself as the next DeepTech hotspot.

DeepTech solutions have the advantage of being able to provide the groundwork for future businesses that rising countries like India demand. Institutional investors are in a good position to lead the way in DeepTech, boosting the amount of money available. This is especially true for early-stage enterprises when the majority of scientific risks have been mitigated and the initial product-market fit in developed economies has been accomplished. Early-stage entrepreneurs can profit from collaborations with enterprises and accelerators. This strategy, sponsored by Startup India and Niti Aayog, is exemplified by the Atal Innovation Mission and the Department of Science and Technology's accelerators and incubators.

Investments in specialist funds and venture capital investments in R&D-intensive firms will help the Indian DeepTech ecosystem flourish and bring more sustainable solutions to the market. A new Indian DeepTech ecosystem is emerging, with significant implications for all players, particularly businesses, investors, and entrepreneurs. Investors are driving the necessary funds into these businesses. The rationale is simple: early-stage companies in the field require more time and resources to bring their ideas to market, but more crucially, for the first time, corporate and venture capital firms are warming up to making long-term, significant bets on new and emerging companies.