India's SaaS industry is grappling with several challenges in 2024, including slowing demand, cautious investor funding, and the increasing disruption caused by artificial intelligence (AI). Funding levels have fallen significantly from the highs of 2022, with valuations being sharply corrected. Many startups are finding it harder to secure the funding they need to grow and expand. In response, companies are focusing more on AI-driven solutions and innovation, integrating advanced technologies into their products to remain competitive in the market.
Despite these challenges, there are still significant opportunities for growth within both domestic and global markets. Cloud migration continues to be a key driver, as businesses move to more scalable and cost-effective solutions. Additionally, the broader adoption of AI technologies is helping to fuel the industry's growth, offering new avenues for SaaS companies to innovate and expand their customer base.
