The DPDP Conundrum, Pidge Nets INR 120 Cr & More

Startups Dread The New DPDP Regime

The Indian startup ecosystem is in a flux. The recently-notified Digital Personal Data Protection (DPDP) Rules has prompted costly overhauls of their privacy systems and lined up a long list of compliance demands. So, why has the new regime put smaller digital platforms on the edge?

The Cost of Compliance: The new rules demand strict and time-bound execution – 48-hour breach reporting (even mid-investigation), year-long data logs, automated deletion systems, and public channels for grievances. Penalties reach up to INR 250 Cr, identical for companies regardless of their size.

A Lopsided Regime?

The new rules make no distinction between a garage startup and a global conglomerate. While big tech giants have sprawling security teams and deep pockets, bootstrapped have little to none. One single slip could jeopardise survival and expose small businesses to disproportionate risks, with industry bodies calling for a tiered compliance timelines that recognises startup constraints.

The Privacy Paradox:

The new compliance norms also arguably loosen the leash on the state. Rule 23 grants the Centre sweeping authority to access personal data from any company, bypassing standard data-minimisation principles. Experts warn that this lack of checks and balances could leave companies with little ground to refuse excessive government data demands.

The Endgame:

Yet, the government did not act in a vacuum. Just over the past two years, WazirX lost INR 1,960 Cr in a crypto heist, Angel One leaked 8 Mn user records due to cloud misconfiguration, and the list goes on. With average data breach costing INR 22 Cr, investors, too, now expect strong privacy controls that can build credibility.

As the clock starts ticking for DPDP implementation, will policymakers pivot to a tiered approach, or will the weight of compliance deal a blow to the very startups the Digital India mission aims to empower? Let’s find out…

From The Editor’s Desk Pidge Bags INR 120 Cr

• The logistics-focussed SaaS startup has raised the funding in its Series A round led by LVEC to bolster its tech capabilities, deepen its presence in tier II and III cities and enhance supply integrations.
• Founded in 2019, Pidge’s platform integrates a brand’s fleet with third-party logistics providers to optimise order allocation, reduce delivery time and cut costs. The startup claims to work with more than 20,000 brands in over 50 cities.
• The startup claims that it is currently operating at an ARR of about INR 250 Cr and expects to cross INR 200 Cr in revenue in FY26. It has also set its eyes on turning EBITDA positive by FY27.

BlackSoil Acquires Caspian

• The two venture debt firms have completed their merger, forming BlackSoil Capital Private Limited. The combined firm claims an INR 1,900 Cr asset base and has
• disbursed over INR 14,000 Cr to 550+ companies.
• The merger strategically combines BlackSoil’s focus on growth-stage startups with Caspian’s SME lending expertise, creating a diversified and granular portfolio with access to approximately 5,000 borrowers.
• This consolidation arrives amid a surge in consolidation activity in the Indian startup ecosystem. Notable recent transactions include the merger of InsuranceDekho and RenewBuy, Solv and Jumbotail, among others.

Easebuzz Becomes Full Stack Payments Aggregator

• The fintech startup has secured three key licences from the RBI, enabling it to operate as a full-stack payments aggregator for online, offline and cross-border transactions.
• Founded in 2014, Easebuzz’s solutions allow merchants to accept payments via multiple methods. It also helps businesses automate billing and track transactions. The minicorn claims to have more than 2.5 Lakh clients and processes an annual GTV of $50 Bn.

The move comes amid a spree of approvals granted by the RBI. Earlier this month, Pine Labs and PayU, too, received the central bank’s nod to operate as payment aggregators.

Tractor Junction’s $22.5 Mn Funding Boost

• The tractor marketplace has secured $22.5 Mn in its Series A round, led by Europe-based impact fund Astanor, blending equity ($17 Mn) and debt financing ($5.5 Mn) to accelerate growth.
• Founded in 2018, Tractor Junction operates a digital-first marketplace that addresses rural mobility needs by enabling buying, selling and financing of used tractors and commercial vehicles.
• With revenues of INR 121 Cr in FY25 and a projected top line of INR 250 Cr by FY26, the startup is eyeing a piece of the world’s largest tractor market by volume.

Inc42 Markets

Inc42 Startup Spotlight Can CarbonStrong Decarbonise India’s Concrete Industry?

Cement and concrete production remain major contributors to industrial emissions. India alone emits over 177 Mn tonnes of carbon dioxide from cement each year, posing a major environmental threat. Enter CarbonStrong, a clean tech startup trying to flip the script.

Innovative Low-Carbon Binder: Founded in 2022, CarbonStrong has developed a low-carbon concrete binder that can replace 40-50% of cement in standard mixes. The binder combines mechanically processed fly ash with proprietary additives, reducing carbon footprint and cost while upcycling industrial waste. The binder fits seamlessly into existing ready-mix concrete production without performance compromise.

A Strong Start: With pilots across 15 customers, including IIT Madras, Infra.Market and Earth Pavers, CarbonStrong is slowly gaining industry confidence. Supported by Momentum Capital and Bharat Founders Fund, the startup is preparing to set up a commercial manufacturing facility in Bengaluru to scale production.

Competing with global giants, can CarbonStrong’s breakthrough binder catalyse a greener construction revolution?

Infographic Of The Day

Even as the festive season and the rollout of GST 2.0 gave India’s digital payments landscape a strong boost in October, the dominance of the top two UPI players, PhonePe and Google Pay, softened marginally. Here’s the full breakdown:

The post The DPDP Conundrum, Pidge Nets INR 120 Cr & More appeared first on Inc42 Media.