Top News

Karnataka steps up efforts to tap major share of country's electronics, semiconductor market, says IT secretary Manjula
ETtech | February 12, 2026 1:57 AM CST

Synopsis

The state is stepping up efforts to attract investments across the electronics and semiconductor value chain to capture a larger share of India's rapidly growing electronics and semiconductor market, said IT/BT department secretary Dr N Manjula on Wednesday.

Listen to this article in summarized format

Loading...
×
The state is stepping up efforts to attract investments across the electronics and semiconductor value chain to capture a larger share of India's rapidly growing electronics and semiconductor market, said IT/BT department secretary Dr N Manjula on Wednesday.

The secretary was speaking at the two-day business-to-business event organised by Electronic Industries Association of India (ELCINA) Source India 2026 in Chennai. She said the state is focusing on scaling manufacturing alongside its strong research and development (R&D) base.

This comes as the country's electronics output is projected to reach $300 billion by 2026 and the domestic semiconductor market is expected to touch $64 billion.


"Karnataka is not just participating in India's electronics growth story; we are shaping it. With our strong R&D ecosystem, global engineering centres and a focused push on manufacturing, the state is ready to lead the next phase of electronics and semiconductor expansion," the secretary said in a statement.

She said the state currently contributes nearly 10% of India's industrial output and is among the leading electronics exporting states, with exports of over $4.5 billion, ranking third in the country.

The state houses around 500 research and development (R&D) centres and nearly 100 chip design centres, including companies like Intel, AMD, Qualcomm and Samsung. Intel's largest R&D centre outside the US and GE's second-largest global R&D centre are both located in Karnataka, she said.

On the policy front, she said the state has rolled out the special incentives scheme for the electronics system design and manufacturing (ESDM) sector (2025–2030), offers customised packages for large investments above Rs 500 crore, and has also launched the Karnataka Space Technology Policy (2024–2029) and the GCC Policy (2024–2029) to attract advanced manufacturing, R&D and global capability centres.

The state's skilling ecosystem spans 235 engineering colleges, 325 polytechnics and 1,777 Industrial Training Institutes (ITIs), supported by institutions such as IISc and industry-linked Centres of Excellence (CoE), she said.

She further added that the state houses major end-user industries in automotive, aerospace, defence, medical devices and industrial manufacturing, and noted that Foxconn has begun construction of a mobile phone manufacturing facility near Bengaluru's international airport.


READ NEXT
Cancel OK