Karnataka Has A Sector-Based Strategy To Take Startup Ecosystem Beyond Bengaluru: Priyank Kharge

The Karnataka government is looking at ways to take the state’s thriving tech and startup ecosystem, which has long been concentrated in Bengaluru, beyond the capital city, IT and BT minister Priyank Kharge said on Thursday.

“We are striving to establish highly conducive business environments beyond Bengaluru, as many aspects are currently concentrated within the city. The objective is to foster innovation, inspire inventions, and encourage startups to proliferate beyond Bengaluru,” Kharge said while addressing an event in Bengaluru.

The strategy, devised with the aim of fostering innovation, inventions, and startups across the state, is sector-based and aims to empower diverse regions.

“We have a very specific strategy for it, a sector-based strategy,” Kharge added.

The government is looking at developing Mangalore as a hub for animation and fintech, and Belgaum for manufacturing and aerospace. Mysore would be developed as a semiconductor hub.

“The idea is to ensure that innovations and startups are spread across states,” he said.

It must be noted that the Karnataka Digital Economy Mission (KDEM) has launched a programme called ‘Beyond Bengaluru’ to promote emerging technology clusters in different regions of the state.

Meanwhile, Kharge also said that the state government would focus on establishing new Centres of Excellence (CoEs) in sectors while it already has few in deep technology, IoT, and cybersecurity.

These centres are designed to enhance leadership capabilities, foster talent, incubate innovation, and support startups in specialised domains. They are not solely led by the government and are also actively guided by industry leaders, Kharge added.

The state is also expected to have CoEs for life sciences, medical devices, manufacturing, automobiles, wireless products by the end of the financial year 2023-24, he added

The government also aims to set up gaming and biotech accelerators by this time, the minister added.

Earlier in July, the Karnataka government announced a series of incentives for startups in the state as part of its Budget 2023-24 announcements.

In his budget speech, chief minister Siddaramiah proposed the establishment of an incubation centre, INNOVERSE, with an allocation of INR 50 Cr. The centre was planned to be equipped with multiple hi-tech facilities, serving local startups. The government has allocated INR 10 Cr for this purpose for the current year.

Meanwhile, earlier in the day, Kharge also said that the state government will assess the proposal of industry body Bharat Web3 Association to set up a regulatory sandbox for web3.