Tech start-ups in India and around the world faced turbulent times in 2022 and 2023 as funding slowed and thousands of employees were laid off. While layoffs in India have decreased since 2024, they remain relatively high, particularly in sectors like electric mobility and online gaming.
Data from Layoffs.fyi shows that between January and October 2025, Indian start-ups cut 4,282 jobs across 25 companies, a significant drop from the 14,978 layoffs across 108 firms recorded in 2023. This moderation reflects efforts by start-ups to streamline operations, focus on profitability, and reassess hiring practices following the pandemic-driven tech boom.
Globally, the United States continues to account for the majority of tech job cuts, with 76,907 employees laid off up to October 2025, representing 84% of global layoffs. India follows with 4,582 layoffs, or 5% of the total, while Sweden (3.3%) and Canada (2.4%) rank third and fourth. Germany, Israel, and the Netherlands account for 1–2% each.
Within India, Bengaluru remains the hardest hit, accounting for more than half of all tech start-up layoffs (2,247 employees). The city, home to numerous unicorns and large tech firms, has been at the center of both hiring surges and subsequent workforce corrections. Other major cities affected include Mumbai (13.5%), New Delhi (12.5%), and Hyderabad (11.7%), with layoffs largely concentrated in mid-sized start-ups and digital service companies. Smaller job cuts occurred in Gurugram (7.5%) and Noida (2.3%).
In terms of companies, the earlier waves of layoffs in 2022 and 2023 hit edtech start-ups like Byju’s and several quick-commerce firms the hardest. In 2025, the trend has shifted to electric mobility and gaming companies, which appear to have overestimated their staffing needs. Ola Electric led the current round with 1,000 layoffs in Bengaluru, followed by Games 24×7 in Mumbai with 580 job cuts, and Hyderabad-based Head Digital Works, which laid off 500 employees. Other notable reductions include 350 layoffs at Bengaluru-based VerSe Innovation and 300 at New Delhi’s Otipy, which shut down operations entirely.
