Bengaluru Emerges As Asia’s No. 2 AI Innovation Hub, Enters Global R&D Top 10: GSER 2026

Bengaluru has strengthened its global standing in technology innovation, ranking as Asia’s second-strongest AI-native ecosystem and entering the global top 10 in R&D and performance, according to the Global Startup Ecosystem Report (GSER) 2026 released at VivaTech Paris.

The report, prepared by Startup Genome in partnership with Karnataka Digital Economy Mission (KDEM), places Bengaluru-Karnataka at 15th globally in the Startup Ecosystem Index with an estimated USD 152.8 billion ecosystem value , reaffirming its position as India’s leading startup hub.

Officials said the city continues to dominate India’s innovation landscape, accounting for nearly 58 percent of national AI venture funding , reflecting its strong concentration of deep-tech startups, research talent, and investor activity.

Bengaluru also ranked among the global top 10 in R&D engine performance , improving from its previous position in GSER 2025, driven by higher patent output and stronger research commercialisation across AI, biotech, and advanced engineering sectors.

In funding momentum, the city attracted about USD 39 billion in venture capital between 2021 and 2025 , placing it among the top 15 ecosystems globally and fourth in Asia. It also secured strong rankings in exit performance and overall innovation output.

The GSER 2026 framework, which evaluates over 350 ecosystems and more than 5.5 million companies worldwide, highlights Bengaluru’s efficiency in generating high-value innovation with relatively lower talent costs, positioning it as a capital-efficient global innovation hub rather than a low-cost outsourcing centre.

Karnataka IT & BT Minister Priyank Kharge said the recognition reflects sustained investments in AI talent development, startup policy support, and research infrastructure , adding that Karnataka is now focused on building a “DeepTech decade” to scale globally competitive companies.

Bengaluru also retained its place among the world’s top 40 startup ecosystems , further strengthening India’s presence in the global AI and innovation race.