Ashneer Grover, co-founder and former Managing Director of BharatPe, has never shied away from speaking his mind. This week, he did it again—this time responding sharply to Union Commerce Minister Piyush Goyal’s remarks on India’s startup ecosystem. Goyal, while speaking at the Startup Maha Kumbh, criticized the country’s startup landscape for being too focused on food delivery and gaming apps. Grover, known for his candid commentary and as a former Shark Tank India judge, wasted no time in countering that narrative.
Grover’s retort was swift and stinging: “The only people in India who need a reality check are its politicians. Everyone else is living in the absolute reality of India.” With this statement, he flipped the entire debate on its head, defending India’s entrepreneurs and calling into question the vision of the country’s political leadership.
The Core of the Controversy
During the Startup Maha Kumbh, Piyush Goyal raised concerns over the direction Indian startups have taken. He questioned whether startups should settle for creating delivery jobs or strive for cutting-edge innovation. “Are we going to be happy being delivery boys and girls? Is that the destiny of India… this is not startup, this is entrepreneurship,” he said. His comments didn’t stop there.
Goyal compared Indian startups with their Chinese counterparts. He stated that while Indian firms focus on delivering food and building casual apps, China invests in artificial intelligence, battery innovation, semiconductor development, and electric vehicle (EV) manufacturing. According to Goyal, the Indian startup ecosystem lacks deep-tech focus and currently has only 1,000 startups in that domain. He called this situation “disturbing” and urged founders to pivot towards future-defining sectors.
Grover’s Response: A Reality Check for Politicians
Ashneer Grover directly challenged Goyal’s perspective. He emphasized that Indian entrepreneurs operate in a tough, competitive, and dynamic environment. Unlike politicians, founders face harsh market realities daily. They bootstrap companies, build teams from scratch, fight regulatory hurdles, and still generate employment in a country where job creation remains a persistent issue.
Grover reminded critics that even China, now known for its technological advancements, started with basic services like food delivery. “China started with food delivery before evolving into deep tech,” Grover noted. “Aspiring to their success is fine—but maybe politicians should first aim for 10%+ economic growth for 20 years straight instead of lecturing today’s job creators.”
With that statement, Grover hit a nerve. He shifted the focus from startups to the broader economic performance of the country. India hasn’t consistently hit double-digit GDP growth for decades. Grover argued that blaming startups without solving macroeconomic problems is not just unfair—it’s counterproductive.
A Call for Better Public Discourse
Grover didn’t stop at criticism. He offered a subtle but firm suggestion to shift the national narrative. “Maybe (it’s) time to change ‘public discourse’ from history to science! Thanks, minister sir, for starting this healthy debate,” he added. Through this, Grover nudged policymakers to talk less about legacy and more about innovation, science, and technology.
In this era of global disruption, the narrative must evolve. Instead of framing startups as glorified delivery services, public figures should appreciate the full scope of digital entrepreneurship. From e-commerce to healthtech, fintech to edtech, Indian startups span multiple domains and touch every aspect of daily life.
Why Goyal’s Remarks Miss the Bigger Picture
Goyal’s concerns about deep-tech investment are valid. India does lag in sectors like semiconductor manufacturing, AI infrastructure, and EV research compared to China and the U.S. However, blaming food delivery startups for this lag shows a lack of nuance.
Food delivery companies like Zomato and Swiggy have built massive logistical infrastructure. They created millions of jobs—many for individuals with limited access to formal employment. These platforms also support thousands of restaurants, cloud kitchens, and delivery partners. In a country with high unemployment, these startups bring economic activity to the grassroots.
Moreover, the gig economy isn’t just a stopgap—it’s a springboard. Many gig workers use their earnings to fund education, upskilling, or even launch small businesses. To dismiss this ecosystem as “cheap labour” undermines the transformative impact of these platforms.
Deep-Tech vs. Market Demand
The market, not ministers, decides what scales. Deep-tech innovation requires enormous capital, long development cycles, and strong institutional support—often from government labs and universities. In countries like the U.S. and China, deep-tech thrived due to direct government funding and long-term investment strategies.
Indian startups gravitate toward sectors like fintech, edtech, and food delivery because those sectors show real demand. These startups understand Indian consumers. They don’t just build apps; they build trust. They provide convenience, access, and inclusion to millions.
The government, instead of criticizing, should enable. It must create funding mechanisms, reduce compliance burdens, and offer incentives for R&D. If India wants deep-tech, then India must invest in it.
What’s at Stake?
At the heart of this debate lies a bigger question: What kind of startup culture does India want to build?
Do we want to celebrate risk-takers and innovators across the spectrum—from logistics to AI? Or do we want to narrowly define entrepreneurship as only what fits a government agenda?
Ashneer Grover, for all his controversies, speaks a language many young entrepreneurs understand. His voice resonates because it reflects the lived experience of founders. His rebuttal also highlights a growing gap between political expectations and entrepreneurial realities.
Moving Forward: Collaboration, Not Condemnation
Instead of public rebukes, ministers and entrepreneurs must sit across the table and collaborate. Policymakers should understand why food delivery and gaming platforms scale faster. Entrepreneurs, in turn, should explore how to apply their learnings to deeper technologies.
Grover’s comments lit a fire under an important debate. Politicians must recognize that India’s startup success didn’t happen in a vacuum. It happened despite systemic roadblocks. Dismissing that journey only demoralizes the next generation of innovators.
Let’s stop asking whether food delivery apps qualify as real startups. They do. Let’s ask better questions. How can India build the next Tesla or Nvidia? How can we scale up research labs and public-private partnerships? How do we retain talent instead of losing it to Silicon Valley?
Conclusion
Ashneer Grover called out the establishment, not for drama—but to defend the spirit of Indian entrepreneurship. His message was loud and clear: job creators deserve respect, not ridicule.
Politicians must stop delivering sermons and start delivering support. That’s the only “reality check” India truly needs right now.