Karnataka’s tech ecosystem raises $868 million in first three months of 2026

Karnataka’s tech industry raised $868 million in the first quarter of this year, registering a 16 per cent decline from the preceding three months but a 7% rise annually, according to a report by market intelligence firm Tracxn.

Deal volume fell 38% to 117 rounds, yet total capital raised remained nearly steady, indicating that investors are concentrating their bets by writing fewer but larger cheques rather than retreating from the market.