₹500 crore. Three startups. One reusable rocket engine, one AI foundation model for Earth observation, one star tracker. India's space regulator just deployed its Technology Adoption Fund for the first time, and the recipients are not ISRO contractors but private companies building commercial space technology.
The Indian National Space Promotion and Authorisation Centre (IN-SPACe) selected Astrobase Space Technologies, SatSure Analytics India, and TM2SPACE Technologies as the first beneficiaries of the ₹500 crore Technology Adoption Fund (TAF), launched in February 2025. Each project receives milestone-linked disbursements covering up to 60% of costs, capped at ₹25 crore per project. The selection followed a multi-stage evaluation involving ISRO, the Department for Promotion of Industry and Internal Trade, and the Department of Science and Technology.
IN-SPACe chairman Pawan Goenka called the projects "practical, market-ready solutions that will increase our footprint in the global space economy."
Astrobase: building an 800 kN reusable rocket engine
Bengaluru-based Astrobase Space Technologies will develop an 800-kilonewton closed-cycle liquid rocket engine burning liquid oxygen and liquefied natural gas. The engine is designed for medium-to-heavy lift launch vehicles and aims for full reusability, the same cycle SpaceX uses in its Raptor engine.
Astrobase has already completed sub-scale hot-fire tests and high-speed turbopump trials. The company also installed India's largest aerospace 3D printer, capable of producing multiple 80-ton thrust engines annually from a single unit. The TAF grant funds the final push from prototype to commercial propulsion system.
SatSure: building India's foundational Earth observation AI
SatSure Analytics India, also based in Bengaluru, will build Dhaarini, a Large Earth Observation Model designed as India's foundational AI platform for remote sensing. Trained on satellite and aerial imagery, the model will generate useful insights for agriculture, infrastructure monitoring, and disaster management. SatSure secured ₹24.6 crore ($2.57 million) specifically for this project.
The company positions Dhaarini as the AI layer that makes satellite data usable at national scale, a gap that currently limits Earth observation adoption outside government agencies.
TM2SPACE: indigenous AI-powered star trackers
Hyderabad-based TM2SPACE Technologies will develop an indigenous AI-powered star tracker system. Star trackers determine a satellite's orientation in space by matching star field images against onboard catalogs, a component currently dominated by non-Indian suppliers. TM2SPACE will deliver two variants: StarSense Lite for CubeSats and StarSense Pro for satellites above 50 kilograms, both incorporating onboard AI for faster attitude determination.
The three projects cover the full space technology stack — propulsion, data, and navigation. India opened its space sector to private companies in 2020, and the sector has since grown to over 150 registered space startups. A separate ₹1,000 crore venture fund managed by Sidbi Venture Capital is being rolled out to support nearly 40 more space startups over the next five years.
"With this fund, our vision is to bridge the critical gap between early-stage development and commercial success," Goenka said.