Netapp in partnership with Zinnov has released the findings of a study titled “Leveraging Start-Ups to Unlock Digital Opportunities in Large Enterprises.” In the report, NetApp has drawn on its cloud expertise to contribute data-led insights into the role of business-to-business (B2B) tech startups in speeding up digital transformation. The advent of cloud technologies has entrepreneurs from India building products for the world. The report highlights a thriving technology ecosystem of over 4,200 B2B tech startups from India, with 63% of them working on enterprise technology in the banking, financial services, and insurance (BFSI), healthcare, retail, and automotive verticals. The complete study can be accessed here.
Speaking of the coaxial path of startups and data-driven enterprises, Ravi Chhabria, VP and managing director, NetApp India, said, “Big data, analytics, AI, and ML are advanced technologies in focus for B2B startups. Enterprises in every industry want to gain the first-mover advantage using the power of these technologies. Much before this need became apparent, NetApp has been reinventing customer experiences through the Active IQ platform, using AI for optimal data management as AIOps. Today’s infrastructure investments mark a clear preference for technology providing business-relevant solutions that can be adopted across the value chain.”
The report further states that:
44% of all startups are now in the B2B tech bracket.
43% of all Indian unicorn businesses now are B2B tech startups.
Over 415 B2B tech startups received a cumulative equity funding of $3.0 billion with a twofold growth in average funding.
A key driver of this growth is an increase in cloud-born startups that are using advanced technology to solve new use cases across industries.
Pari Natarajan, CEO, Zinnov, said, “The global digital engineering spend, which is expected to reach $750 billion by 2023, underscores the trend of accelerating enterprise digital transformation and creates a massive opportunity to be capitalized on. As companies rethink resilience, forge newer partnerships, and leverage the external ecosystem, new-age infrastructure becomes critical.”
B2B startups have truly come into their own by using advanced technologies like artificial intelligence (AI) and machine learning (ML) to create and offer enterprise-grade solutions. However, even mature startups often require assistance with go-to-market opportunities. That is where experienced technology companies such as NetApp fit in. According to the study, there are over 60 active open innovation programs run by corporations in India. NetApp® Excellerator is one such program that has engaged with more than 1,600 startups, seen 3 successful exits, and worked on 9 proofs of concept (POCs). Over 70% of startups received follow-on funding after graduating from the program.
Madhurima Agarwal, director and leader, NetApp Excellerator, said, “Organizations are democratizing innovation through these converging disruptive technologies, and B2B tech startups play an integral role in enabling this across all industry verticals. As we’ve seen with the NetApp® Excellerator, a structured collaboration program results in multiple outcomes for the startups such as joint go-to-market opportunities, equity investments, or acquisitions.”