India’s patent story appears to be one of volume and velocity. India’s patent filings crossed a record 1.43 Lakh mark in the fiscal year 2025-26 (FY26), up more than 30% from 1.10 Lakh a year ago. In a post on LinkedIn, industry and commerce minister Piyush Goyal said that the surge in patent filings has propelled India to become the world’s sixth-largest patent filer, reinforcing the country’s ambitions of emerging as a global innovation powerhouse.

However, beneath the celebratory headlines lies a more complex narrative of administrative bottlenecks and legal complexities. While the ‘computer’ and ‘electronics’ fields led the charge, together accounting for over 41,717 filings in FY26, the actual conversion of applications into granted patents tells a story of caution. Fewer applications received approval from the patent office in FY26.

Piling on top of this is the stark divide between research in academia and private R&D in the startup ecosystem in the patent space. Data from the IP India dashboard shows that educational institutions dominate the landscape with nearly 55,000 patents applications, while startups remain at the margins with just 4,156 filings. This disparity has cast a shadow on India’s IP regime, suggesting that India’s road to becoming a deeptech nation is paved with more than just paperwork.

As we delve into the details, the central question remains – is India truly innovating at record speed, or is it merely getting better at filing for it? India’s Patent Chasm While the 30% YoY jump in filings suggests a fertile environment for ideas, the growth hasn’t necessarily translated into the number of patents granted. In FY25, the number of patents granted stood at 33,504, which tumbled 36% YoY to 21,439 in the recently concluded FY26.

This disconnect is particularly visible in the tech sector. Despite having the highest volume of applications, patent approvals for computer and electronics headers fell by over 28% to 7,179 in FY26, down from previous fiscal’s 10,058 (the 2024-25 report considered computer science and electronics as one field). The situation was especially worse for Indian startups.

While institutions (categorised under other than natural persons) received approvals for 14,200 patents, homegrown new-age tech companies were granted a mere 649 patents, while institutions (categorised under other than natural persons) led the pack with over 14,200 patents. So, what’s plaguing India’s deeptech ambitions? One of the primary roadblocks is Section 3(k) of the Indian Patent Act.

This specific clause excludes mathematical methods, business methods, algorithms, and computer programs ‘per se’ from patentability. The law aims to prevent the monopolisation of abstract ideas, allowing exceptions only when software is tied to hardware to deliver a “demonstrable technical effect or advancement”. “… Many applicants still file patents without understanding these thresholds.

As a result, filing numbers may rise, but many applications are rejected during examination or abandoned before completion. Patent filings, therefore, reflect applications submitted, not necessarily patents likely to survive scrutiny or be granted on merit,” said Richa Pandey, partner and patent attorney at CMS INDUSLAW. The Administrative Churn The dip in approvals isn’t solely due to the quality of applications, but also a byproduct of significant administrative reshuffling.

In FY24, the government undertook a massive internal restructuring of the patent office, promoting approximately 370 examiners to senior roles. This helped clear a massive backlog initially, leading to record disposal of 1.26 Lakh applications and over 1 Lakh patent grants. However, this move also created a temporary vacuum at the entry level.

On top of this, the momentum also slowed due to delays in hiring new examiners, which led to rising pendency and impacted trademark processing. To fix this, the government initiated the recruitment of 407 new examiners in January 2025. These new recruits, which were put through a structured induction programme, began working only in the latter half of FY26.

Additionally, 200 new positions in the trademarks registry were sanctioned to strengthen capacity. This “capacity catch-up” is also one of the critical reasons as to why grant numbers have looked pale compared to the filing boom. However, a new variable is disrupting the status quo.

AI: The New Centre of Gravity Just like other sectors, AI is driving the sheer volume of India’s IP ambitions. While official government data does not detail specific patents filed and granted in the AI space, industry reports suggest a massive acceleration. A 2025 report by TCS and CII noted that AI patent filings jumped from roughly 3,900 between 2010 and 2018 to a staggering 83,059 in the 2019-25 period.The report drew upon data obtained from proprietary patent databases. Further, according to the IT industry body Nasscom’s 2025 report, over 86,000 “AI patents” were filed in Indi