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Billionaire Kids’ Brands Are Not Startups, Warns Piyush Goyal

• ByStartupStory     |    April 4, 2025

Union Minister Piyush Goyal delivered a candid critique of India’s evolving startup landscape at the Startup Mahakumbh 2025, cautioning against conflating luxury brands built by the children of billionaires with genuine startups.

Speaking to a packed audience of entrepreneurs, investors, and policymakers, Goyal emphasized the need for disruptive innovation and large-scale problem-solving, rather than niche consumer products marketed as startups.

“I have been going through a lot of our startup success stories. And wherever I go, all over the country…I know at least three or four billionaires whose children make at least one brand of fancy cookies and ice creams. I have no complaints against that but is that the destiny of India?” he asked, questioning the direction in which the country’s startup culture is heading.

The minister took aim at the increasing trend of repackaging premium products with buzzwords such as “healthy,” “gluten-free,” and “vegan,” paired with attractive packaging, and then labeling them as startups.

“These are not startups. This is entrepreneurship. This is business,” he said, drawing a clear line between branding-led ventures and innovation-driven startups.

While acknowledging India’s position as the third-largest startup ecosystem globally, Goyal expressed concern over whether the ecosystem is channeling its energy into truly transformative sectors such as deep-tech, manufacturing, and sustainable innovation.

He urged the entrepreneurial community to look beyond quick gains and gig-based models and instead strive for global relevance in cutting-edge technology.

“Dukaandari ka hi kaam karna hai ya one of scale, to make a mark in the world?” Goyal asked rhetorically, challenging young entrepreneurs to reflect on their goals.

The minister further underscored that merely building high-end consumer brands does little to position India as a global tech powerhouse, especially in the face of competition from countries like China, which are making rapid strides in electric mobility, battery technology, and deep-tech innovation.

Goyal’s remarks come at a time when India’s startup ecosystem is at a critical juncture, with increasing investments and global interest, but also the need to ensure sustainable and meaningful growth that aligns with the nation’s long-term aspirations.

His address at Startup Mahakumbh 2025 served as both a wake-up call and a clarion call for deeper introspection and more impactful entrepreneurship.

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