Ronnie Screwvala to invest $50M in AI, deep-tech, space start-ups
What's the story
Veteran entrepreneur and investor Ronnie Screwvala has announced a personal investment of $50 million in early-stage start-ups working on artificial intelligence (AI), deep-tech, and space technology. The UpGrad founder is now looking for the "next Lenskarts," as he shifts focus to India's new generation of technical founders. In an interview with Moneycontrol, Screwvala said that the real innovation is happening in these sectors.
Investment approach
Investment strategy and future plans
Screwvala has already invested in start-ups, including SpeakX, ZuAI, CuePilot AI, Round1 (Grapevine), and TrueFan. He plans to invest in around 15 start-ups over the next 12-15 months with check sizes ranging from $1 million to $3 million. His shift toward AI and deep-tech is based on his belief that the best opportunities will come from applied intelligence, language systems, and workflow-level software.
Market insight
Perspective on AI start-ups and resilience
Screwvala believes that 90-95% of AI start-ups won't survive. He said, "Everyone wants to rebrand their existing business as an AI company, but only a few will have a real product idea." Along with AI and deep-tech, he's also investing in private-sector space-tech. This comes as India is pushing frontier-tech investments with a recently announced ₹1 lakh-crore R&D scheme for quantum, AI, and deep-tech innovation.
Founder qualities
Criteria for backing start-ups
Screwvala is looking for founders with long-term stamina, frugality, and the ability to stay committed through market cycles. He considers staying power as the biggest determinant of long-term value creation. "A real successful founder is someone who's going to outlast others—not someone who raises more money or has a good two years," he said. Frugality is another key criterion for him in assessing potential investments.
Investment strategy
Approach to early-stage investing
Screwvala has criticized the trend of founders abandoning their ventures midway, especially in the AI rush. He also spoke against small-ticket, high-volume angel checks in early-stage investing. "Doing $30,000 or $40,000 checks is spray-and-pray... I don't know why people brag about investing in 100 or 150 companies," he said. The $50 million pool gives him room to double and triple down on resilient founders.
Market advice
Advises against copying Silicon Valley's approach
Screwvala has also advised Indian founders not to copy Silicon Valley's capital-heavy approach. He said, "Valley is different, nothing sparks like that here." He argued that India's markets reward execution clarity and thoughtful growth, not burn-heavy experimentation. Despite the challenges, he believes India's start-up ecosystem is better positioned for the next decade of frontier-tech building due to founders' stronger market understanding and broader skills.