Aggregate to Innovate

Startups are adapting their manufacturing approach by aggregating production rather than establishing their own factories. This cloud manufacturing model, exemplified by Zetwork, involves coordinating multiple factories to fulfill orders collaboratively. By distributing tasks among manufacturers, startups can manage quality and scale efficiently. This trend is developing in various sectors, including textiles and specialty chemicals, as startups leverage existing manufacturing clusters in India. Given the limited capital in the market, with only $9 billion invested in the Indian venture economy recently, startups are favoring a software and light hardware integration model instead of committing to significant manufacturing investments.