Karnataka wants tech companies to look beyond Bengaluru. Chief Minister D.K. Shivakumar announced a new plan on July 24. The state will roll out a fresh policy within 100 days.
The Big Promise: Cheap Office Space
The plan targets cities like Mysuru, Hubballi-Dharwad, Mangaluru, and Belagavi. The government wants to offer these cities world-class office space at very low rates. Some spaces could cost as little as fifty cents per square foot.
Shivakumar announced this at a breakfast meeting with CEOs in Bengaluru. He called on business leaders to help shape Karnataka’s next growth phase. He also confirmed plans to build a new AI University with industry partners.
Why Bengaluru Still Leads
Shivakumar praised Bengaluru’s talent pool and called it India’s true innovation hub. He said many companies moved there decades ago and chose to stay because of its people and opportunities.
He also made a striking cost comparison. Companies pay $3.50 for the same output elsewhere, he said. In Bengaluru, they get it for close to $1. He credited this efficiency to the city’s skilled workforce and strong business ecosystem.
Big Numbers Behind the Push
Karnataka’s software exports already cross Rs 4.36 lakh crore. The state expects this number to climb past Rs 5.5 lakh crore soon. These figures show why the government wants to spread this growth to more cities, not just Bengaluru.
The state has already rolled out new policies for IT, space technology, and startups. These policies focus on deep tech, digital infrastructure, research, and stronger ties between industry and academia.
What’s Next
Karnataka will host the Bengaluru Tech Summit from November 17 to 19 at the Bangalore International Exhibition Centre. Shivakumar invited industry leaders to attend and help shape future policy.
He closed his address with a clear message to investors. The government doesn’t want quick, short-term deals, he said. It wants long-term partners who grow alongside the state.
This isn’t Karnataka’s first attempt to push growth beyond Bengaluru. The state launched a similar “Beyond Bengaluru” initiative back in 2020, targeting cities like Mysuru, Mangaluru, and Hubballi-Dharwad. The new 100-day policy builds on that same goal, but backs it with sharper incentives and a bigger vision for the state’s tech future.
