India's UHNIs target $1tn deeptech, semiconductor market
India's ultra-high-net-worth investors are increasingly channelling capital into semiconductors, spacetech and deeptech through specialised venture funds, betting on a $500 billion to $1 trillion market opportunity reshaping the country's manufacturing base.
Indian ultra-high-net-worth individuals are directing fresh capital toward the country's deeptech, semiconductor and spacetech sectors, driven by a convergence of government policy and private sector capability. According to Ajay Modi, a director at Mumbai-based alternative investment fund Piper Serica, these industries represent a $500 billion to $1 trillion market opportunity that will define India's next phase of economic growth.
This capital migration marks a structural shift in the Indian economy. "For the first time in decades, India is not just consuming advanced technologies—it is building them," Modi said. The government has anchored this transition by committing ₹1.28 lakh crore to the India Semiconductor Mission 2.0, alongside a ₹2.19 lakh crore strategic package and a ₹62,500 crore mobile phone manufacturing scheme.
Both established industrial families and first-generation technology wealth are entering these sectors for the first time. Because direct investment in chip design or spacecraft engineering requires deep technical diligence, this capital is flowing primarily through specialised venture funds. Currently, only 20% of UHNI wealth is allocated to private equity and startups, a figure expected to rise as these funds establish track records.
This deployment requires a different approach to returns. Investors are learning that deeptech demands longer gestation periods at the lab stage compared to software businesses. "In deeptech, patience isn't a compromise - it's the source of alpha," Modi noted. Once a product achieves market fit, scale-up tends to be faster and margins higher due to the difficulty of replicating complex hardware.
Piper Serica has deployed over ₹200 crore across more than 30 deeptech companies, including SenseSemi, Pantherun Technologies and Astrogate Labs. The fund has also allocated nearly ₹16 crore to spacetech firms such as Xovian Aerospace and Inbound Aerospace.
Within this broader shift, the most attractive risk-reward profile lies in component manufacturing rather than finished robotics products. Hardware currently commands 63% of global robotics spend, and defence robotics alone has grown sixfold in two years. The real value is in the "picks-and-shovels" layer: indigenous MEMS sensors, gyroscopes, and neuromorphic chips that provide the foundational infrastructure for industrial automation and defence platforms.
