Indian Listed AI Market Could Add Up to $100 Billion From Upcoming IPOs: Goldman Sachs

A recent Goldman Sachs report estimates that upcoming public offerings by private Indian artificial intelligence companies could add $50 billion to $100 billion to the country's listed AI market over the next two to five years. The projection follows a significant tripling of private equity funding for Indian AI startups since 2024.

India’s listed artificial intelligence market could gain an additional USD 50 billion to USD 100 billion in market capitalisation over the next two to five years as privately held AI companies move towards initial public offerings (IPOs), according to a report by Goldman Sachs.

The report identified 84 privately held Indian companies with significant exposure to the AI value chain, estimating their combined current value at around USD 55 billion. Of these, 71 companies are at growth, late, infrastructure or buyout investment stages and have a combined estimated value of USD 54 billion.

Goldman Sachs estimates that 25 to 50 percent of these 71 companies could go public over the next two to five years. Assuming an average IPO valuation around four times their current estimated value, these listings could add USD 50 billion to USD 100 billion to India’s listed AI market.

The report noted that potential listings could broaden the market beyond its current concentration in AI infrastructure. This expansion would introduce areas such as data centre operators, enterprise AI services, conversational AI, cloud and data management, healthcare AI, and computer vision.

Private equity funding for Indian AI startups has tripled since 2024, highlighting a rapid increase in investor interest across the sector. Private equity investment in Indian AI startups rose to around USD 5 billion in 2025, up from USD 1.6 billion in 2024. Furthermore, funding in the first eight to nine months of 2026 had already matched the previous year's total, placing investment on course to exceed the 2025 record.

AI’s share of total private equity funding in India also rose from around 5 percent in 2024 to approximately 20 percent in 2026. Citing Stanford University’s 2026 AI Index Report, Goldman Sachs stated that India ranked sixth globally for private AI funding in 2025 and fourth for the number of newly funded AI companies.

Out of the 84 companies identified in the study, upstream AI enablers—including businesses involved in power, semiconductors, and data centre infrastructure—account for an estimated USD 35 billion in value. Downstream AI adopters, which apply AI across sectors such as healthcare, financial services, and enterprise software, account for USD 18 billion, while core AI model companies account for USD 2 billion.

"The massive surge in private equity funding for Indian AI startups—rising from USD 1.6 billion in 2024 to an estimated USD 5 billion in 2025—indicates strong institutional confidence in the domestic technology sector. As these growth and late-stage companies mature towards initial public offerings over the next few years, the diversification from infrastructure into downstream applications like healthcare and enterprise software will create a more balanced public technology market in India." — Dr. Shishir Gupta, Founder & CEO, StartupLanes