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Arms race

Defence PSUs are firing blanks

Defence Public Sector Undertakings (PSUs) have extended a very tentative hand to startups. But their handshake seems cold at best as some of their legacy issues do not make them an ideal partner, at least for now

13/02/17

Arundhati Ramanathan

PSUs believe startups will find it tough to big monies working with them

But no real innovations have come from the R&D programmes of the defence PSUs

Startups that make end products used by the armed forces have viable business models

PSUs prefer sourcing from foreign manufacturers. They believe Indian startups’ products are not of international quality

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A wintry January morning in Bengaluru saw the coming together of two very unlikely sets of people. Bharat Electronics Ltd (BEL), Hindustan Aeronautics Ltd (HAL) and Bharat Earth Movers Ltd, all suppliers of various defence equipment to the armed forces, were hosting an event at the BEL Officers Club. It was a mission to woo startups—an…

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