Karnataka's Ambitious Semiconductor Hub Plan: Bengaluru-Mysuru Belt

Introduction:
 

 Karnataka, known as India's tech capital, is setting its sights on becoming a major player in the semiconductor industry. With the global demand for semiconductors skyrocketing, the Karnataka government, under the leadership of Chief Minister Siddaramaiah, is taking bold steps to position the Bengaluru-Mysuru belt as a hub for semiconductor manufacturing and design. This move comes amidst fierce competition from states like Tamil Nadu and Gujarat, which are also vying for investments in this crucial sector.

Bengaluru-Mysuru Belt:
 

 The New Semiconductor Hub In a recent announcement, IT/BT Minister Priyank Kharge revealed that the state is planning to develop the Bengaluru-Mysuru region into a significant semiconductor hub. Bengaluru is already renowned as a global IT hub, and this initiative aims to leverage its existing ecosystem to attract semiconductor design companies. Meanwhile, Mysuru is being positioned as a center for semiconductor manufacturing and related activities, creating a balanced and comprehensive semiconductor ecosystem in Karnataka.

Competing for Investments:

 Karnataka vs. Other States Karnataka is not alone in its quest to become a semiconductor powerhouse. States like Tamil Nadu and Gujarat are offering attractive incentives, including higher subsidies, to lure semiconductor companies. To stay competitive, Karnataka is also exploring various incentives, including the awaited production-linked incentives (PLI) and fiscal support from the central government. The state has identified four electronics manufacturing clusters, with significant interest from anchor participants ready to invest in these hubs.

Focus on Emerging Technologies:
 

AI, ML, and Beyond The state government is not just focusing on semiconductors. At a recent breakfast meeting with IT and biotechnology sector leaders, CM Siddaramaiah emphasized the importance of emerging technologies like AI, machine learning, blockchain, and quantum computing. The government is committed to investing in these areas to ensure that Karnataka remains at the forefront of technological advancements. A working committee will be set up soon to draft a comprehensive ‘Strategy for AI and AI policy,’ highlighting the state’s forward-looking approach.

Encouraging Growth Beyond Bengaluru The Karnataka government is also keen on decentralizing growth by encouraging companies to establish Global Capability Centres (GCCs) outside Bengaluru. The upcoming GCC policy aims to ease regulations and provide incentives for large companies to set up operations in other parts of the state, ensuring balanced regional development.

Conclusion:
 

Karnataka's ambitious plans to develop the Bengaluru-Mysuru belt as a semiconductor hub reflect its commitment to staying ahead in the global tech race. By fostering a conducive environment for semiconductor manufacturing and design, and investing in emerging technologies, the state is poised to attract significant investments and create numerous job opportunities, solidifying its position as a leader in India's digital evolution.

Courtesy by: deccanherald