In stark contrast to the global trend of surging AI funding, the Indian AI startup ecosystem is facing a significant downturn, raising concerns among investors, industry leaders, and the government. A recent Tracxn report, shared exclusively with AIM, reveals that total funding for AI startups plunged by 53% year-on-year. It decreased from $305.9 million in FY 2023-24 to $143.6 million in FY 2024-25, alongside a 44% drop in the number of funding rounds. Meanwhile, data from analytics firm Dealroom shows that global AI startups secured $110 billion in 2024, a 62% increase from the previous year, with US-based startups accounting...