For years, the story went like this. While the West raced ahead with 'vibe coding' platforms, India was still busy tinkering with low-code tools. But that narrative is starting to look very outdated. A new wave of Indian AI startups, such as Rocket.new, Emergent, and even the frontrunner NxtGen are now building entire ecosystems which prove that world-class AI can be built, scaled and run right here at home. Leading the pack is Surat-based Rocket.new, which recently bagged $15 million in seed funding led by Salesforce Ventures, with Accel and Together Fund also jumping on board. Forget mockups, Rocket.new's platform turns natural language prompts straight into production-ready apps. CEO Vishal Virani has a name for the pain point they are tackling. The 'day two problem' is that moment when most AI coding tools buckle under real-world pressure. Rocket's solution is what he calls 'vibe solutioning'. "Users don't want the code in three minutes," he said. "They want a complete, comprehensive solution that takes the cognitive load off them." The Numbers are Promising Since its beta launch in June 2025, Rocket has taken off with 4,00,000 users across 180 countries and 10,000 paying subscribers. The numbers are already impressive. Rocket is pulling in $4.5 million in annual recurring revenue (ARR), with projections of up to $70 million by mid-2026. For context, US rivals like Cursor and Lovable hit $100 million ARR in under a year. Yet, Rocket's growth out of India proves that this time, the country isn't just catching up; it's competing head-on. [Must Watch] As India builds these vibe coding tools, it is also not oblivious to big firms setting up shop here. After OpenAI's expansion in India, Anthropic is also officially coming to India. Its next global office is set to open in Bengaluru in early 2026, led by Indian-origin CTO Rahul Patil. Anthropic wants to build AI with India, not just for it.
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