Women-Focused Innovations in the Global Tech Sector
The global tech industry is home to over 69,000 companies founded by women, which have collectively attracted $309 billion in funding to date. However, in 2024, women-led startups received only 11.7% of the total funding available, impacted by broader economic challenges.
According to a report from startup research and analytics firm Tracxn, women-led tech companies around the world raised $29.6 billion in 2024. This marks an 11% decline from $33.1 billion in 2023 and a significant 21% drop from the $37.5 billion recorded in 2022. Noteworthy is the performance of certain startups, with three companies—Open AI, Abound, and Wiz—reporting funding rounds exceeding $1 billion in 2024. Overall, 45 funding rounds surpassed the $100 million threshold in 2024, reflecting a 15% increase from the previous year but a considerable 40% decrease from 2022.
Top Sectors for Women-Led Startups
In 2024, the most funded sectors among women-led startups were Enterprise Applications, Life Sciences, and FinTech. The Enterprise Applications sector alone attracted $16.1 billion, though this represents declines of 8% and 5% from previous years (down from $17.5 billion in 2023 and $16.9 billion in 2022).
The Indian Landscape
India hosts more than 7,000 active women-led startups, making up 7.5% of the nation’s entrepreneurial landscape. Remarkably, it ranks second only to the US for total funding raised by women-founded companies, amassing $26 billion to date. According to Tracxn, these businesses raised a total of $26.4 billion, with 2021 being particularly notable at $6.3 billion.
Globally, 2022 was a standout year for Indian startups, contributing to 15.18% of total funding, with Indian women-led startups securing $5 billion compared to $32.8 billion globally. As of 2024, India stands in third place worldwide for funding raised by women-led startups, behind the US and the UK, accounting for 3.96% of the global share.
Investment Trends and Opportunities
In 2024, Y Combinator, Techstars, and Antler emerged as the most active seed-stage investors, while Lightspeed Venture Partners, General Catalyst, and Accel led early-stage investments. Notable Capital, Sapphire Ventures, and SoftBank Vision Fund were among the top late-stage investors.
The retail sector leads in overall funding for women-led startups, with $7.8 billion raised cumulatively. Following close behind are Edtech at $5.4 billion and Enterprise Applications at $5 billion. Sub-sectors like B2C e-commerce, internet-first brands, and fashion technology are also experiencing significant investments, showcasing the active participation of women in these fields.
City-Wise Funding Landscape
In terms of city-specific funding in 2024, San Francisco ($9.4 billion), New York City ($1.9 billion), and London ($1.8 billion) topped the charts, solidifying their status as global tech hubs.
Leading Indian Cities for Women-Led Startups
Bengaluru takes the lead in India for both the number of women-led startups and the total funding raised, followed by Mumbai and the Delhi NCR region, as reported by Tracxn.
Unicorn Developments and Acquisitions
India witnessed an impressive rise in the number of women-led unicorns back in 2021, with eight new entrants. This trend saw a gradual increase from 2019 (three unicorns) to 2022 (five unicorns). However, both 2023 and 2024 did not produce new unicorns, indicating fluctuating dynamics.
On a global scale, 2024 marked the emergence of 14 new women-led unicorns, a substantial 134% increase from just six in 2023. Five Indian women-led startups also went public in 2024: MobiKwik, Usha Financial, Tunwal, Interiors and More, and LawSikho, although no IPOs have occurred in 2025 thus far.
The most acquisitions of women-led startups occurred in 2021, with 45 buyouts, but this count fell to 36 in 2022 and 25 in 2023. In 2024, acquisition numbers further dipped to 16.
Closing Thoughts
While significant challenges remain in closing the funding gap for women-led ventures, these pioneering women are demonstrating that they are essential contributors to India’s growth narrative, as highlighted in Tracxn’s findings. To support women entrepreneurs facing obstacles, various government initiatives have been implemented, including India’s Trade Related Entrepreneurship Assistance and Development (TREAD) program, which provides financial loans through non-governmental organizations.
These efforts aim to foster a more equitable entrepreneurial landscape by offering essential financial backing, training, and networking opportunities.
