Karnataka Unveils New Investment Projects and Innovation Clusters
Karnataka unveiled six new letters of intent (LoIs) and a set of skill development partnerships during the Bengaluru Tech Summit 2025 on November 19. The initiatives cover electronics manufacturing, electric vehicle systems, battery recycling, biotechnology, and a dedicated drone testing facility. The state government said these projects will create jobs in key sectors and promote economic growth beyond Bengaluru.
IT Minister Priyank Kharge explained that the agreements are part of the state’s broader strategy to strengthen innovation clusters and expand the Local Economy Accelerator Programme (LEAP). The announcements under LEAP include the Elevate Next programme starting January 1, 2026, and Elevate Beyond Bengaluru launching February 1, 2026. LEAP is a five-year, ₹1,000 crore initiative aimed at boosting infrastructure, funding, and sector support in areas outside the capital.
Under Elevate Next, 40 startups will receive grants ranging from ₹50 lakh to ₹1 crore. Meanwhile, 50 startups will be awarded up to ₹50 lakh under Elevate Beyond Bengaluru. The minister noted that these initiatives will help decentralize opportunities and strengthen Karnataka’s innovation network across multiple regions.
The first LoI involves a drone testing facility on a 20-acre site in Chintamani, to be managed by the Drone Federation of India. The government will provide the land, while the federation will facilitate company participation at the site. The project has an estimated investment range of ₹25 crore to ₹100 crore.
Global HDI will establish a multi-layer PCB manufacturing plant on an 84-acre plot in Tumakuru, with a ₹1,500 crore investment. The facility is expected to create 1,000 jobs. Additionally, Elleve Solutions will set up a PCB and electronics manufacturing unit in the same city with an investment of ₹250 crore.
Skill Development Initiatives and Regional Growth
TSUYO Manufacturing has signed an LoI for a ₹250 crore electric vehicle powertrain unit in Dharwad, which is projected to generate 700 jobs. MiniMines Cleantech Solutions plans a ₹350 crore project for critical mineral refining, and Eyestem Research has committed to developing vision-restoration treatments using cell-based therapies.
Alongside investment announcements, the state launched new skill development programmes. Marvell Semiconductor and the Electronics Sector Skills Council of India signed an MoU to train 90 women in VLSI design and embedded systems. This training will be available in Tier 2 and Tier 3 cities and integrated with graduation-level courses.
The Nipuna Karnataka initiative was introduced to train 4,000 youth in fields such as cybersecurity and data science. The first phase will provide access to 2,800 job openings with partner companies. Training will be delivered through four aggregators working with corporate employers in technology and finance.
Karnataka’s Bengaluru Innovation Report highlighted the city’s growing global prominence in technology. Bengaluru now ranks as the world’s fifth-largest hub for emerging technologies, is India’s leading unicorn capital, and accounts for 58% of the country’s total funding in advanced technology sectors.
Beyond Bengaluru, clusters in Mysuru, Mangaluru, and Hubballi-Dharwad are gaining traction. New infrastructure, increasing investor interest, and robust government support are driving growth in these emerging regions, expanding Karnataka’s tech ecosystem statewide.
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