Bengaluru, November 14 (Policy Desk) — Karnataka has announced its ambitious ₹967-crore IT-BT Policy 2025–30, a five-year roadmap aimed at decentralising tech-driven growth from Bengaluru and empowering emerging hubs across the state. The policy, approved by the state cabinet this week, aligns with Karnataka’s long-term vision of strengthening innovation, fostering deep-tech research, and generating new employment in tier-2 and tier-3 cities.
The new Karnataka IT-BT Policy 2025 marks one of the state’s largest-ever investments to broaden the tech ecosystem beyond the already saturated corridors of Bengaluru. Officials describe the policy as a “transformative shift” designed to balance development and reduce pressure on the state’s capital.
Expanding Tech Growth Beyond Bengaluru
The policy focuses on developing next-generation tech clusters in:
- Mysuru
- Hubballi-Dharwad
- Shivamogga
- Mangaluru
- Belagavi
- Tumakuru
These emerging cities are expected to host new IT parks, innovation centres, biotech hubs and deep-tech R&D facilities.
A government spokesperson said,
“Our goal is to ensure that Karnataka grows as a state — not just a city. This policy makes technology accessible to all regions.”
Boost for Biotech, Deep Tech & AI
A significant portion of the ₹967-crore allocation will support research and innovation in:
- Biotechnology & biosciences
- AI & machine learning
- Semiconductors & chip design
- Robotics & automation
- Clean energy & green tech
- Genomics & medical research
Karnataka expects biotech revenues to nearly double to ₹4 lakh crore by 2030, positioning it as India’s biotech capital.
Startups at the Heart of the Policy
The policy offers generous incentives for startups, especially those operating outside Bengaluru, including:
- 30–40% capital subsidy
- Rental reimbursement for three years
- Patent filing and R&D grants
- Women-led startup incentives
- Rural startup seed funds
- Interest subsidies for MSMEs
Karnataka already hosts 25,000+ startups, and the new policy aims to strengthen the pipeline of unicorns emerging from smaller cities.
Infrastructure & Digital Connectivity Push
Key infrastructure initiatives include:
- Expansion of high-speed fibre networks
- AI-enabled smart public services
- Modern coworking zones
- Upgraded IT corridors
- Renewable energy-backed campuses
Officials believe these upgrades will attract investors who previously focused only on Bengaluru.
Why Karnataka Needed a New IT-BT Strategy
Bengaluru contributes nearly 40% of India’s IT exports, but rapid growth has created challenges in mobility, housing and infrastructure capacity. The new policy aims to relieve Bengaluru by shifting investment and innovation to regional centres.
A senior government official noted,
“Tech is no longer a Bengaluru-centric story. With this policy, we are making Karnataka a multi-city innovation powerhouse.”
Conclusion
The Karnataka IT-BT Policy 2025 is poised to redefine the state’s technological landscape. With a strong push for startups, biotech, digital infrastructure and regional innovation, Karnataka is laying the foundation for sustainable, balanced and future-ready tech expansion.





