The Karnataka government is making significant strides to enhance its information technology and biotechnology sectors by leveraging the region’s workforce and infrastructure assets. To drive this vision forward, three dedicated global innovation hubs will be developed in Bengaluru, Mysuru, and Belagavi. These districts will feature Global Capability Centres (GCCs) to propel IT-BT efforts.
The Bengaluru hub will become an integral part of the Knowledge, Well-being, and Innovation City (KWIN City), set to be a global nucleus for research and innovation.
“Our state attracts many GCCs due to its peerless engineering talent and a vast pool of AI experts. Our ‘NIPUNA Karnataka’ initiative will bolster this further by crafting an industry-ready workforce,” remarked Karnataka Chief Minister Siddaramaiah.
Karnataka’s start-up environment has flourished remarkably, showing an 18.2% growth from 2022 to 2023. With 3,036 start-ups, including 1,054 in the life sciences domain, the state accounts for 8.7% of India’s total start-up ecosystem.
Backed by a robust IT foundation, Karnataka also leads in biotech advancements, hosting 60% of India’s biotech firms and employing around 54% of the biotech workforce countrywide. The state represents 30% of biotech investments in India.
During the 27th Bengaluru Tech Summit (BTS), the state sealed five Memorandums of Understanding (MoUs) with Microsoft, Intel, Accenture, IBM, and the BFSI Consortium — companies with strong IT and BT credentials, as highlighted by Siddaramaiah.
“Via our cluster-based model, we’re promoting balanced regional advancement. By customizing policies and infrastructure, we’re enhancing regional strengths and drawing investments into new and emerging clusters, aside from focusing on Bengaluru,” the Chief Minister stated.
Emphasizing the state’s investment in physical and digital frameworks to bolster technological industries, Siddaramaiah mentioned: “Projects like ‘Namma Grama Namma Raste’ for rural connectivity are boosting economic prospects across Karnataka.”
Efforts like the ‘Beyond Bengaluru’ initiative are designed to extend technological benefits to rural sectors, enhancing e-learning in rural schools and impacting healthcare services positively.
“Our partnership with the Indian Venture and Alternate Capital Association (IVCA) has linked over 200 start-ups with 100 investment partners, offering capital, guidance, and expansion avenues,” he highlighted.
The state’s ambitious GCC strategy aims to establish 500 new GCCs, targeting a total of 1,000 GCCs and creating 3.5 lakh new jobs, expected to generate an economic output of US$ 50 billion by 2029, ensuring economic expansion beyond the state capital.
Priyank Kharge, the Minister for Information Technology, indicated that this policy underscores the government’s resolute commitment to fostering GCC growth, which are crucial for driving technological innovation, operational enhancement, and employment in diverse sectors.
“We’ve meticulously crafted incentives and support frameworks to cater to the specific needs of these centers, allowing them to fully exploit Karnataka’s potential. The policy’s core pillars involve nurturing a skilled workforce, promoting collaboration between GCCs and the state’s dynamic innovation ecosystem, setting up a conducive regulatory environment, and providing focused growth incentives both in and beyond Bengaluru,” he explained.
At the summit, the formation of a Centre of Excellence in AI in Bengaluru for R&D was also announced.