Patent Filing for Indian Manufacturers and Deep-Tech Startups: Where India Stands in 2026

In the twenty-first century, innovation is no longer measured merely by what a nation manufactures, but by what it patents.[i]From artificial intelligence and semiconductor technologies to biotechnology and advanced manufacturing, Indian startups and manufacturers are increasingly developing cutting-edge technologies with global commercial potential.

India has emerged as one of the leading innovation economies in the world, with a ranking of 6^th globally in patent filing. According to the official records, India marks 30.2% annual increase in the filing in 2025.[ii] This reflects growing momentum in patent filing in India.

A decade ago, patent registration was seen as an unnecessary step or merely a defensive strategy. However, in contemporary times, this process is considered vital for fundraising, licensing, and investors’ collaboration.[iii] The deep tech innovations further incentivized the innovators to get their product patented for commercial advantages.

For more than half a century, the Indian Patent regime failed to anticipate such modernization. Existing patent laws were primarily designed to secure the rights of human inventors, creating significant hurdles for AI-driven innovation.

This blog critically examines the readiness of the Indian Patent regime to accommodate current innovations, especially deep tech innovations- whether the rising filing numbers reflect genuine legal preparedness, or whether the Patents Act, 1970 continues to lag behind the realities of AI-driven and software-based inventions.

The Indian Patent Regime: A Legislative Overview of the Patents Act, 1970

Patents are one of the core aspects of intellectual property rights. It refers to exclusive rights of the inventor over his innovation, i.e., novel, inventive, and industrially applicable, for a definite time period. The government provides exclusive proprietary rights, i.e., use, sell, and production of the patented product.

In India, this component of IPR is governed by the Patents Act, 1970 (hereinafter referred to as “the Act”), which forms the backbone of Indian patents. This act has, further, been amended multiple times, with significant changes introduced in 1999, 2002, 2005, and 2025.[iv]

However, not all innovations are patentable. Under Section 2(1)(j) of the Act, an invention is defined as a new process which has industrial applicability and involves an inventive step. It is further laid down under Section 2(1)(ja) that it must involve either economic significance or technical advancement (or both), in order to be referred to as an invention. Moreover, it must not be obvious to the person skilled in that art.[v]

However, Section 3 of the Act provides the specific categories that are non-patentable. This includes – discoveries of scientific principles, mathematical methods, computer programs per se, and algorithms. Consequently, this provision excludes standalone or abstract AI-driven innovation under Section 3(k).[vi]

Once the patent is granted, it remains effective for 20 years from the date of filing the application.[vii] However, it is subject to compulsory licensing under Section 84-92, which provides license/ rights to third parties in certain exceptional circumstances, after 3 years from the date of grant.

From the filing of a patent application to registration, everything is administered by the Office of the Controller General of Patents, Designs and Trade Marks (CGPDTM).

In essence, the Act provides a well-defined framework for patent protection to the innovators; however, the human-centric nature of these provisions limits the software-based inventions and pose major hurdle for deep-tech startups.[viii]

The Patent Filing Process in India: A Step-by-Step Overview

The detailed steps for patent filing are mentioned below:

• The patent filing process begins with a thorough prior art search to assess novelty and inventive step.
• This step is followed by drafting specifications, provisional or complete specifications, which depend on invention readiness.
• Subsequently, the patent application in India (Form 1) is filed with CGPDTM, including specification, claims, and prescribed fees. (It is to be noted that Startups usually benefit through concession under the Startup India Scheme and expedited options in certain cases, Form 18A).
• As per Section 11A of the Act, the application is then published after 18 months from the filing/priority date, though early publication can also be requested through Form 9.
• A Request for Examination (Form-18) must be filed within 31 months from the filing/priority date, after which the Controller issues a First Examination Report (FER), raising objections. Deep-tech applications frequently face objections under Section 3(k) of the Act)
• Applicants must respond to the FER within the stipulated time, often by amending claims to highlight tangible technical effects.
• Pre-grant (Section 25(1)) and post-grant opposition mechanisms (Section 25(2)) follow, allowing third parties to challenge the application.

For deep-tech startups, this process is significantly challenging. Examiners often lack technical fluency, which subsequently prolongs the timeline. This highlights a structural mismatch between a legal framework and the pace of innovation.[ix]

Deep-Tech Startups and the Patentability Eligibility Problem

What are Deep- Tech Startups?

Deep-tech Startups refer to the companies that are built on substantial breakthroughs i.e. AI, quantum computing, biotechnologies, or robotics. They are rooted in research and development (R&D) cycles and require enormous capital and specialized expertise, making technology patents central to their growth strategy. Unlike traditional industries, they rely heavily on technology and intellectual property protections. For example, Skyroot Aerospace, Sarvam AI, ImmunoAct, and Pixxel, because these companies operate in highly research-intensive sectors such as space technology, artificial intelligence, biotechnology, and satellite imaging[x]

The Patentability Problem

Patenting deep-tech innovations is challenging, as it requires the existing framework to be reformed, which was originally designed for mechanical inventions. There are five major hurdles that adequately depict the issue:

1. Abstract Idea Restrictions- Many deep-tech innovations primarily rely on software, advanced mathematical algorithms, or pure scientific principles.This posits direct challenge to Section 3(k) of the Act. As a result, the patent office generally refuses protection for pure algorithms or scientific principles. [xi]
2. The Enablement and Disclosure Dilemma- A patent clearly requires industrial applicability i.e. enablement. It requires creators to fully explain how a model reaches its output. This issue often clashes with AI’s Black Box’ nature as the creator cannot explain how it reached the specific output. Further, there is an exponential risk associated with disclosing the process.[xii]
3. Patent Timelines- It is evident that the whole procedure, from filing a patent application to its registration, is quite slow. It typically moves 2-5 years far slower than deep-tech innovation cycles, risking obsolescence before a grant.[xiii]
4. Novelty as an Obstacle- The Deep-tech industry often builds on academic or open-source research. Consequently, examiners frequently struggle to assess true novelty, risking wrongful rejections on obviousness grounds.
5. The High Cost of Specialized Patent Attorneys in India and Global Filing Strategies – It forces early-stage startups to choose between funding R&D and securing IP protection, a dilemma with direct consequences on fundraising and investor confidence.[xiv]

In essence, these obstacles provide a clear picture that Indian patent law friction with deep-tech innovation is not incidental but structural. For Indian deep-tech startups, this translates into real commercial risk, delayed protection, vulnerable disclosures, and capital diverted away from R&D at the very early stage.

The Way Forward: Where India Stands and the Reforms It Needs

India is one of the leading deep-tech innovators, with a ranking in the top 10 globally.[xv] To support this development, the Department for Promotion of Industry and Internal Trade (DPIIT) introduced a major 2026 policy reform that is formally defines “Deep Tech Startups” as a distinct category. Further, it extended their recognition period from 10 to 20 years. It even raised the turnover ceiling to ₹300 crore.[xvi]

Patent filing of deep-tech innovations has notably increased, from near zero to hundreds annually, with approximately 45% applications being granted certificates.[xvii] This depicts improved efficiency. Nonetheless, this growth is imbalanced as only a fraction holds patents, which are concentrated in the electric vehicle sector.[xviii] Despite procedural gains, deep-tech startups continue to face a ‘valley of death,’ as founders navigate an expensive, multi-year patent process while their underlying technology evolves rapidly. [xix]

The Reforms

Owing to the technical advancements and the growing number of deep-tech startups, it is imperative to reform the existing patent law in India. This will further encourage the individuals to innovate, invent, and compete on a global scale.

Firstly, provide clear patentability criteria as deep-tech innovations frequently use AI-driven and software-based technologies, which consequently blur the traditional lines, leading to examination objections. In the contemporary world, modern generative AI and neural networks are autonomously synthesized into new innovations. Amending existing law to include ‘AI-assisted’ or ‘AI-generated’ will surely give a boost to the patent regime in India.

Furthermore, Section 3(k) exclusivity needs to be addressed. It creates ambiguity relating to AI, blockchain, and Web3 startups. It is recommended that the provision acknowledge the inventions that deliver a tangible ‘technical effect’ or hardware-level efficiency. This idea has been reaffirmed in cases such as Ferid Allani v. Union of India[xx]&Microsoft Technology Licensing LLC v. Assistant Controller of Patents and Designs[xxi].

Moreover, cross-border registration is expensive and time-consuming. A comprehensive treaty between global hubs that simplifies the process and acknowledges the patent registration in one country would make the process more effective.

Lastly, making arbitration mandatory during the early stages of patent prosecution would reduce the burden upon both the individuals and the court. This would route high-stakes tech litigation away from generalist courts and into specialized, fast-tracked tribunals supervised by industry experts.

In conclusion, the foundations are strong, but the legal system must evolve to support manufacturing patents alongside deep-tech innovation.

AUTHOR: Khushi Tripathi, 2^nd year law student at Rajiv Gandhi National University of Law, Punjab.

[i]Taalbi, J. Innovation with and without patents – an information-theoretic approach. Scientometrics 130, 4879–4897 (2025). https://doi.org/10.1007/s11192-025-05406-y

[ii]Economic Times, “Patent application filings in India rise 30.2% to 1.43 lakh in 2025-26: Goyal,” 12 Apr. 2026,https://m.economictimes.com/news/economy/policy/patent-application-filings-in-india-rise-30-2-to-1-43-lakh-in-2025-26-goyal/articleshow/130206098.cms, https://www.pib.gov.in/PressReleasePage.aspx?PRID=2237238&reg=3&lang=1

[iii] Aayush Sharma, Patents in the age of deep tech, Hindustan Times ( Jun. 27, 2026) https://www.hindustantimes.com/ht-insight/future-tech/patents-in-the-age-of-deeptech-101782543305393.html

[iv] Kriti, Patents (Amendment) Rules, 2025: Adjudication of Penalties & Appeals Explained, SSC Online (Nov. 27, 2025), https://www.scconline.com/blog/post/2025/11/27/patents-amendment-rules-2025-adjudication-penalties-appeals/

[v]The Patents Act, 1970, § 2Act No. 39 of 1970.

[vi]The Patents Act, 1970, § 3, Act No. 39 of 1970.

[vii]The Patents Act, 1970, § 53, Act No. 39 of 1970.

[viii] Gaur, Dr & Yadav, Garima,Artificial Intelligence and Patent Ownership: Should India Amend Patent Act, 1970. 72735-9891(2026).

[ix] OFFICE OF THE CONTROLLER GENERAL OF PATENTS, DESIGNS & TRADEMARKS (INDIA), Patent Application Filing: A Step-by-Step Roadmap for Innovators, https://ipindia.gov.in/storage/manual-content/d8e11e57-72b6-4661-9fb1-aa80b3fde205.pdf.

[x]Alix, The Challenges of a Deeptech Startup, Skyted Blog (Nov. 21, 2025), https://www.skyted.io/blog/challenges-deeptech-startup.

[xi]Shashank B.V., A Critical Analysis of Patentability of Softwares Under Indian Patents Act 1970, 2 INT’L J. LEGAL RES. & ANALYSIS, no. 7, Apr. 2023, at 13, https://www.ijlra.com/details/a-critical-analysis-of-patentability-of-softwares-under-indian-patents-act-1970-by-shashank-b-v-.

[xii]Kammie Sumpter, Patent Drafting with AI: The 2026 Guide to AI Patent Drafting Tools and Workflows, DEEPIP BLOG (Jan. 2, 2026), https://www.deepip.ai/blog/patent-drafting-ai-guide.

[xiii]Slim Kou, How the Indian Patent Office Protects Your Innovations, LEXOLOGY (Mar. 9, 2026), https://www.lexology.com/library/detail.aspx?g=f6c17f9a-3da4-449c-95ba-a691a92b64eb.

[xiv]Andrew Rapacke, Patent Prosecution Simplified: A 2025 Roadmap for Startups and Founders, RAPACKE LAW GROUP (Aug. 26, 2025), https://arapackelaw.com/patents/patent-prosecution-simplified/.

[xv]Ashutosh Mishra, India Ranks Sixth Globally in Deeptech Startup Ecosystems: Nasscom, BUS. STANDARD (June 21, 2024, 7:05 AM IST), https://www.business-standard.com/companies/start-ups/india-ranks-sixth-globally-in-deeptech-startup-ecosystems-nasscom-124062000811_1.html.

[xvi]Department for Promotion of Industry and Internal Trade, Notification G.S.R. 108(E), Gazette of India, Part II, Section 3(i) (4 Feb. 2026),https://www.dpiit.gov.in/static/uploads/2026/02/119e52e2a36f652215a32c3ccc5f9c66.pdf

[xvii]From Invention to Impact: How India’s Deep Tech Startups Are Building an Innovation Economy Rooted in IP, CII BLOG (June 3, 2026), https://ciiblog.in/from-invention-to-impact-how-indias-deep-tech-startups-are-building-an-innovation-economy-rooted-in-ip/.

[xviii]PTI, Ola Group Surges in Deep-Tech, Owns Majority of Patents Granted to 117 Unicorns, THE HINDU (Apr. 23, 2025, 10:58 PM IST), https://www.thehindu.com/business/Industry/ola-group-surges-in-deep-tech-owns-majority-of-patents-granted-to-117-unicorns/article69484303.ece.

[xix]Ruchi Sharma, Tanmay Sharma & Madan Dhanora, From Patent Filing to Market Success: Assessing the Commercialization Gap in Indian Startups, MILLENNIAL ASIA (Nov. 15, 2025), https://journals.sagepub.com/doi/10.1177/09763996251392712.

[xx]Ferid Allani v. Union of India, W.P.(C) 7/2014, Delhi HC, Dec. 12, 2019 (India).

[xxi]M/S. Microsoft Technology Licensing v. Assistant Controller of Patents and Designs, (T)CMA(PT)/175 of 2023, Mad. HC, Feb. 9, 2024 (India).