The Karnataka government, under the leadership of IT/BT Minister Priyank Kharge, is intensifying efforts to expand the state’s semiconductor ecosystem by focusing on developing the Bengaluru-Mysuru belt as a pivotal hub. This initiative comes amidst fierce competition from states like Tamil Nadu and Gujarat, which are offering lucrative incentives to attract investments and foster job creation in the sector.
Kharge announced during the curtain raiser press briefing for Bengaluru Tech Summit 2024 that a dedicated working committee will be formed within the next 15 days to strategize on AI and formulate an AI policy for the state. This move underscores Karnataka’s commitment to harnessing technological advancements in AI, machine learning, blockchain, and quantum computing.
Meanwhile, Chief Minister Siddaramaiah, in a meeting with IT/BT sector leaders, emphasized the government’s plan to promote Global Capability Centres (GCCs) beyond Bengaluru through an upcoming policy. This policy aims to simplify regulations and incentivize large companies to establish operations across Karnataka, particularly in non-capital regions.
The state has identified semiconductors as a key investment priority, positioning Bengaluru as a hub for semiconductor design while earmarking Mysuru for manufacturing and ancillary activities. Kharge highlighted efforts to decentralize these initiatives from Bengaluru and has petitioned the central government for necessary incentives and production-linked incentives (PLI).
Kharge also noted the establishment of four electronics manufacturing clusters, with significant interest from anchor participants to invest in these strategic hubs, signaling Karnataka’s proactive approach to bolstering its technology and manufacturing sectors.