'We need smart engineers': Zoho's Sridhar Vembu weighs in as Piyush Goyal's remark on startups sparks row

Zoho founder Sridhar Vembu.

After Commerce Minister Piyush Goyal's remarks on startups created a stir, Zoho founder Sridhar Vembu came out in support, saying that the government cannot invent a better operating system or a smarter robot.

In a post on X, Vembu said, "The government cannot invent a better operating system or a smarter robot. The government should not even fund such things - it is not usually good at picking winners and losers. The government can at best conduct competitions where companies participate and then buy the best Indian products."

The government cannot invent a better operating system or a smarter robot. The government should not even fund such things - it is not usually good at picking winners and losers. The government can at best conduct competitions where companies participate and then buy the best https://t.co/yqU0pqPgbl

Sridhar Vembu (@svembu) April 4, 2025

"In that sense, I see Minister Piyush-ji Goyal's call as a challenge to our engineers and technologists and not as pointing fingers. What we need are smart engineers who roll up our sleaves and get it done. Keep in mind the vitamins and cancer cure argument - sequencing how we pay for our big tech ambition is very much part of the "engineering problem" that smart engineers must solve! We can do this," he added.

Also Read: Zepto co-founder's response on Piyush Goyal's startup remark: 'It's easy to criticise...'

In another post, Vembu said, "Ship vitamins and painkillers to fund your business even as you work on a cancer cure" is what I tell deep tech startups that face a long complex R&D challenge."

While speaking at the Startup Mahakumbh on April 3, Goyal said that too many startups focus on food delivery and hyperfast logistics, offering limited long-term value.

Goyal said instead of innovation in deeptech or more impactful industries, they often turn unemployed youth into cheap labour. He said that while Chinese startups are advancing in semiconductors, robotics, electric vehicles (EVs), and battery technologies, many Indian startups remain focused on instant grocery deliveries and “fancy ice creams”, according to CNBC TV18.

He called on India’s startup ecosystem and urged entrepreneurs to reflect on their true value proposition.

Also Read: 'Aspire for 10% growth before chiding job creators': Ashneer Grover slams Piyush Goyal over remarks on startups

His remarks sparked a debate with several slamming Goyal and the government for “chiding today’s job creators”.

Former Shark Tank judge Asheer Grover said politicians in India are the only ones who need a “reality check”, not others. “China also had food delivery first and then evolved to deep tech. It’s great to aspire for what they’ve done - maybe time for politicians to aspire for 10%+ economic growth rate for 20 years flat before chiding today’s job creators,” he said in a post on X.

Former Infosys CFO Mohandas Pai also slammed Goyal's remarks, saying he shouldn't "belittle our startups" and questioned what Goyal did as minister to boost deep-tech startups in India.