Karnataka Approves ₹518 Crore Start-Up Policy 2025-2030 to Foster Deep Tech and Create 25,000 New Ventures

Karnataka's Cabinet has given its nod to the comprehensive Start-Up Policy 2025–2030, backed by an outlay of ₹518.27 crore. This policy is designed to significantly strengthen the state's innovation ecosystem and aims to generate 25,000 new startups, with a target of 10,000 ventures originating from areas beyond Bengaluru. The strategic vision is to position Karnataka as a "Champion State" in the startup domain, with a particular emphasis on cutting-edge sectors like Artificial Intelligence (AI), Blockchain, Quantum Computing, and other DeepTech areas.

The policy outlines strategic support across multiple facets crucial for startup success, including funding, incubation facilities, mentorship programs, research and development (R&D), essential infrastructure, and fostering international collaboration. Its implementation will be guided by seven core interventions. These include initiatives for skill development, improving market access for startups, promoting inclusion and sustainability, and ensuring regulatory facilitation, all aimed at driving innovation and ensuring growth benefits reach widely.

Priyank Kharge, State Minister for Rural Development & Panchayat Raj, IT & Biotechnology, highlighted Karnataka's existing dominance, stating, "Karnataka already stands as the unrivalled leader in India’s start-up landscape, playing a pivotal role in positioning the country as a global innovation and entrepreneurial hub." He further added that this initiative will "further empower impact-driven business models, boost social entrepreneurship and promote inclusive growth in the State."

Karnataka currently hosts about 50 of India's 118 unicorns and over 18,000 registered startups, representing 15% of DPIIT-recognized ventures. Bengaluru is also recognized globally, ranking 10th among the top 20 startup cities according to the Global StartupBlink Index 2025. The state continues to expand its Global Innovation Alliances, partnering with over 30 countries to help startups access global markets, especially in renewable energy, cleantech, and circular economy sectors. Programs like the Grand Challenges will encourage solutions aligned with Environmental, Social, and Governance (ESG) goals and Sustainable Development Goals (SDGs).

Impact: This policy is expected to significantly boost the startup ecosystem in Karnataka, attracting more investment, fostering innovation in high-growth sectors, and creating substantial employment opportunities. It reinforces India's position as a global innovation hub and is likely to spur similar initiatives in other states. Rating: 8/10

Heading: Difficult Terms Explained

* **DeepTech**: Refers to startups and companies that focus on developing innovative technologies based on significant scientific or engineering challenges, often requiring substantial R&D and long development cycles. Examples include AI, quantum computing, advanced materials, and biotechnology. * **Unicorns**: Privately held startup companies valued at over $1 billion. * **DPIIT**: Department for Promotion of Industry and Internal Trade, an Indian government department responsible for promoting industry and facilitating trade. * **ESG**: Environmental, Social, and Governance criteria used to evaluate a company's sustainability and ethical impact. * **SDGs**: Sustainable Development Goals, a set of 17 global goals set by the United Nations General Assembly in 2015 for all member states to achieve by 2030. * **Global Innovation Alliances (GIA)**: Initiatives designed to foster international collaboration and partnerships for innovation, helping startups connect with global markets, expertise, and funding. * **Grand Challenges Program**: A program that invites innovators and entrepreneurs to solve specific, complex problems, often with societal or environmental benefits, by offering prizes and support. * **Circular Economy**: An economic model aimed at eliminating waste and the continual use of resources, as opposed to the traditional linear economy of "take, make, dispose."