Karnataka's New IT Policy: Boosting AI and Tech Innovation Beyond Bengaluru

Karnataka's New IT Policy: A Boost for AI and Tech Innovation

Karnataka, a leading state in India's technology sector, is set to unveil a new Information Technology (IT) policy around July 2023. This policy aims to replace the existing 2020-2025 framework and promises to reshape the state's tech landscape with a strong focus on artificial intelligence (AI) and emerging technologies 1

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Expanding Beyond Bengaluru

A key objective of the new policy is to create "economic accelerators" beyond Bengaluru, Karnataka's capital and primary tech hub. State IT Minister Priyank Kharge emphasized, "The IT policy will focus on creating new economic accelerators beyond Bengaluru. Infrastructure is a problem with any growing city, and that was quite naturally raised by stakeholders" 1

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The government plans to boost growth in cities like Mysuru, Mangaluru, Hubballi-Dharwad, and Kalaburagi. This expansion aims to address infrastructure challenges in Bengaluru while fostering a more distributed tech ecosystem across the state 1

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Investments in AI and Deep Tech

The new policy proposes significant investments in cutting-edge technologies:

1. A Centre for Applied AI for Tech Solutions, with an investment of ₹50 crore over five years 1

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2. A ₹300 crore Fund-of-Funds to support startups 1

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3. A dedicated ₹100 crore fund for deep tech development 1

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These investments underscore Karnataka's commitment to staying at the forefront of technological innovation, particularly in AI and deep tech sectors.

Policy Development and Stakeholder Engagement

The policy is being developed through extensive consultations with industry stakeholders. The State IT Vision Group, comprising IT companies, chambers of commerce, and think tanks, is actively involved in shaping the policy 2

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Recent consultations involved IT Secretary Ekroop Caur, industry body Nasscom, and other stakeholders. Key discussion points included:

1. Strategies to reskill Karnataka's digital workforce.
2. Extending IT infrastructure to tier-2 and tier-3 cities.
3. Regulatory reforms to enhance ease of doing business 2

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Emphasis on Emerging Technologies

The current policy mandates organizations across various sectors to adopt IT and emerging technologies such as blockchain, AI, big data, Internet of Things (IoT), and 5G technology 1

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. The new policy is expected to build upon this foundation, further integrating these technologies into the state's economic fabric.

Comprehensive Tech Policy Framework

Karnataka's approach extends beyond a singular IT policy. The state has implemented new policies concerning cybersecurity, engineering, research and development, global capability centers, and data centers 1

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. This comprehensive framework aims to address the multifaceted nature of the technology sector and its impact across industries.

As the policy nears finalization, it promises to set a new direction for Karnataka's tech sector, emphasizing AI, supporting startups, and fostering innovation beyond established tech hubs. The success of this policy could significantly influence India's position in the global tech landscape.