- The impact of Central Government's Startup India-Standup India schemes is negligible

- In the first half of 2023, investment in startups reached $3.8 billion, much lower than last year's $18.3 billion.

Adda 247, which has been invested by Google, laid off 300 employees

- Due to capital cost, high interest rates and fall in technology stocks, investment fell by a whopping 80 percent.

Bengaluru, India: The Startup ecosystem in India is considered one of the best. Now, these Startups are facing problems. Around 300 employees have been laid off from the 24 7 Google-invested sites like Meesho, Swiggy, ShareChat, UnAcademy, Byjuz, Car Dekho, Blink-it Cars24, Karzoo. The retrenchment by the well-known startup is not in any one of its departments but with the aim of cutting costs, certain employees of all departments have been caught pink sleep. In India, 17,000 people have lost their jobs in startups by the month of September. While many people are drawn to startups as they offer big salaries and equity in the company, new data has fueled public concern. In the last 24 months, 1,400 startups have laid off 91,000 employees. Indian government's schemes like Start Up India-Stand Up India have failed to save jobs in new startups.

According to Startup Ecosystem insiders, a drastic drop in new investment has forced companies to lay off like Elon Musk. It is worth mentioning that, as soon as Elon Musk took over Twitter himself, 70 percent of the staff got pink sleep. In the first half of 2023, investment in startups reached $3.8 billion, which is nothing compared to last year's $18.3 billion. Thus, in just one year, there has been a drastic decrease of 80 percent in the investment of startups.

According to a firm known for its statistics, capital costs, high interest rates, and a decline in the value of technology stocks have had a direct impact on startup investment. He studied a total of 100 unicorns and found that up to 20 percent of the companies could face issues with their business models, government disruptions, and even closure in the near future due to declining demand. Only companies that return to the market with a new business model will be able to weather these challenging times. According to a report, many big companies can acquire small startups.

The biggest reason for these layoffs is believed to be a decline in the ability to get funding in the startup ecosystem. Where in 2022 startups were getting funding every 3 hours, now in 2023 they are getting funding every 10 hours. An 80 percent drop in funding in the first half of 2023 alone is forcing startups to lay off. Many startups don't have money to pay salaries. The year 2021 was a golden period for startups. During this time, startups became unicorns. But, from March-April last year, the funding started to decrease which is continuing till now.