Thiruvananthapuram’s Technopark reported a 17% rise in software export revenues to ₹17,092 crore for FY2026. This performance highlights the growing shift of major IT companies toward regional hubs in search of cost efficiencies and talent, which is a key trend for investors tracking IT sector operations in Tier-2 cities.
Thiruvananthapuram-based Technopark has reported software export revenues of ₹17,092 crore for the fiscal year 2026, reflecting a 17% growth compared to the previous year's ₹14,575 crore. This increase of ₹2,517 crore underscores the expanding footprint of the IT industry in Kerala, moving beyond traditional metros like Bangalore and Hyderabad. For investors in the IT services sector, this growth highlights a strategic shift where large companies are leveraging Tier-2 hubs to optimize operational costs.
The IT corridor currently supports operations for over 540 companies, including global majors and large Indian IT firms like TCS, Infosys, UST, and Allianz. These companies utilize the park to access a large pool of skilled talent while managing infrastructure costs more effectively than in primary IT corridors. The hub supports approximately 84,000 direct jobs, which creates a stable ecosystem for service-oriented businesses, retail, and commercial infrastructure in the region.
From a business perspective, the management is focusing on Phase-III and Phase-IV development to increase the facility's scale. The campus currently spans 768.63 acres with over 13 million square feet of space. For investors tracking IT services, this capacity expansion is a monitorable, as it indicates the long-term intent of major clients to continue their presence in this specific region. If the expansion proceeds on schedule, it could further lower the cost of operations for tenant companies, potentially supporting margin stability in their regional delivery centers.
However, investors should also consider the broader risks associated with regional IT hubs. While growth is positive, the long-term success of such corridors depends on continuous investment in infrastructure, talent retention, and the ability of the ecosystem to compete with more established IT hubs. Any delay in project execution for the new phases or challenges in maintaining high-end technology talent could impact the pace of growth in these secondary locations. Monitoring the consistent demand from the major IT firms operating within these facilities will be essential to understanding if this regional growth trend is sustainable in the long term.