Wednesday, May 6, 2026
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Karnataka Government Approves AI Centre of Excellence with NASSCOM

The Karnataka government has approved the establishment of an Artificial Intelligence Centre of Excellence (AI-CoE) in partnership with NASSCOM to accelerate the adoption of artificial intelligence, Industry 4.0 technologies, and digital transformation across multiple sectors. The centre, named the Centre for Applied AI for Tech Solutions (CATS), has been cleared by the Department of Electronics, IT, Biotechnology and Science & Technology.

The CATS AI-CoE will be set up at the KEONICS facility in HSR Layout, Bengaluru, with a total financial outlay of Rs 20 crore spread over four years. Funding will follow a 40:40:20 model, with contributions from the Union Ministry of Electronics and Information Technology (MeitY), the Karnataka government, and industry partners. The centre will focus on priority areas including artificial intelligence, robotics and automation, supply chain optimisation, and broader digital transformation initiatives.

The initiative aims to strengthen Karnataka’s innovation ecosystem by supporting start-ups, MSMEs, industry players, research institutions, and academia. Over the next four years, the Centre is expected to establish advanced laboratories and testing facilities, support deep-tech start-ups, enable proof-of-concept development, and facilitate industry collaborations and technology commercialisation in partnership with global technology leaders.

Electronics, IT and Biotechnology Minister Priyank Kharge said the initiative marks Karnataka’s push towards becoming a deep-tech innovation hub, creating a strong pipeline from research to market-ready solutions. The development is likely to improve sentiment around India’s AI and technology ecosystem, with potential positive spillover effects on technology and innovation-linked market segments.

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