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Karnataka clears Bengaluru AI Centre of Excellence, partnering with NASSCOM to back applied AI and deeptech

Karnataka has approved a new AI Centre of Excellence in Bengaluru aimed at speeding up AI adoption, deeptech innovation and digital transformation across sectors. The project, planned with NASSCOM, is positioned to support startups, MSMEs and research institutions, and is intended to reinforce the state’s role as a leading hub for applied AI in India.

A state-backed AI push anchored in Bengaluru

The Karnataka government has approved the establishment of a new Artificial Intelligence Centre of Excellence in Bengaluru, signalling a renewed policy push to institutionalise applied AI capabilities within the state’s innovation ecosystem. The initiative is designed to accelerate AI adoption and support deeptech development, reflecting Karnataka’s long-standing positioning of Bengaluru as a national technology hub and a gateway for product companies, startups and global R&D centres.

Karnataka clears Bengaluru AI Centre of Excellence, partnering with NASSCOM to back applied AI and deeptech
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Partnership model: government + industry body

The proposed centre will be set up in partnership with NASSCOM and is expected to focus on practical technology solutions rather than purely academic research. By using an industry-linked model, the programme aims to translate AI capabilities into deployable tools and services that can be adopted by startups, MSMEs and research institutions. Such an approach can shorten the path from experimentation to production, a key bottleneck for many AI initiatives that struggle to move beyond pilots.

What the centre is expected to enable

The centre’s stated purpose is to create a structured platform for AI-led digital transformation across sectors, which typically involves building shared resources, supporting talent development, and enabling collaboration between companies and public institutions. For Karnataka, the larger bet is strategic: keep high-value innovation rooted locally, improve the state’s attractiveness to investment, and build a pipeline of applied AI projects that can scale from Bengaluru to the wider economy.

Potential impact areas

  • Startup support through problem statements, mentoring, and industry validation.
  • MSME enablement via adoption frameworks and practical tech solutions.
  • Collaboration with research institutions to convert prototypes into real deployments.
  • Strengthening Bengaluru’s role in India’s applied AI and deeptech ecosystem.

Centres of excellence work best when they reduce the friction between ideas and adoption—connecting talent, compute, real datasets and industry demand in one pipeline.

REFERENCE FILE

Sources and reporting record

  1. The Economic TimesThe Economic Times