The Bengaluru AI Centre of Excellence has been officially approved by the Government of Karnataka, marking a significant milestone in India’s push to accelerate artificial intelligence adoption and deeptech innovation. The centre, to be known as the Centre for Applied AI for Tech Solutions (CATS), is expected to play a pivotal role in advancing AI research, supporting startups and micro, small and medium enterprises (MSMEs), and fostering collaboration between government, industry, and academia.
This development reflects Karnataka’s broader strategy to position Bengaluru as one of Asia’s most dynamic hubs for cutting-edge technology and digital transformation, garnering attention from both domestic and global tech communities.
Strategic Goals of the AI Centre of Excellence
The primary objective of the Bengaluru AI Centre of Excellence is to stimulate deeptech innovation and promote the practical application of artificial intelligence across multiple sectors, including robotics, automation, supply chain optimisation, and digital transformation. Officials say the centre will not only nurture technological advancements but also help translate research into market-ready solutions that can benefit businesses and society alike.
The state government has earmarked a total investment of Rs 20 crore over four years for this initiative, with funding contributions shared under a 40:40:20 model among the Union Ministry of Electronics and Information Technology (MeitY), the Karnataka government, and industry partners, including the National Association of Software and Service Companies (NASSCOM).
Partnership Model with Government, Academia, and Industry
A distinctive feature of the Bengaluru AI Centre of Excellence is its collaborative governance structure. Set up in partnership with industry bodies such as NASSCOM, academic research institutions, and corporate stakeholders, the centre is designed to bridge the gap between innovation research and commercial application.
Priyank Kharge, Minister for Electronics, IT, Biotechnology and Science & Technology in Karnataka, emphasised the strategic importance of this initiative, dubbing the current period as “Karnataka’s deep tech decade.” According to Kharge, the centre will serve as a launchpad for deeptech startups and industry collaborations, and will build a pipeline from cutting-edge research to commercialisation and job creation.
Focus Areas and Innovation Priorities
The CATS AI CoE will prioritise several core technological domains. These include:
- Artificial Intelligence – Enhancing machine learning, predictive analytics, and AI solutions tailored to specific industry challenges.
- Robotics and Automation – Driving innovation in autonomous systems for manufacturing, logistics, and service applications.
- Supply Chain Optimisation – Leveraging AI to improve efficiency, resiliency and responsiveness in complex supply networks.
- Digital Transformation Tools – Supporting businesses in integrating digital solutions that accelerate growth and competitiveness.
The centre will also host advanced laboratories, testing facilities, and prototyping units where researchers and startups can experiment, iterate, and validate concepts. Over time, these facilities are expected to contribute to stronger intellectual property portfolios, higher technology commercialisation rates, and greater participation in global innovation ecosystems.
Supporting Startups and MSMEs
A key component of the Bengaluru AI Centre of Excellence’s mission is to nurture innovation at all levels of the economy. Startups, especially in deeptech sectors, will have access to mentorship, testing facilities, and opportunities to partner with industry players and researchers.
MSMEs, which often struggle to adopt sophisticated digital technologies due to resource limitations, will benefit from tailored support programs designed to make AI and Industry 4.0 tools more accessible. This includes mentoring on proof-of-concept development, prototype scaling, and access to potential investors through collaborative networks.
Industry observers say this inclusive approach is critical for ensuring that innovation is not siloed within elite research labs, but instead flows into real world applications that can boost productivity and competitiveness across sectors.
Metrics and Accountability for Impact
To track progress and ensure tangible results, the Bengaluru AI Centre of Excellence will measure performance using a set of key indicators such as:
- Number of startups incubated and supported
- Prototypes developed and commercialised
- Intellectual property filings and technology transfers
- Industry partnerships formed
- Number of professionals trained in AI and related technologies
These metrics will help policymakers and stakeholders evaluate the centre’s performance year over year and guide strategic adjustments to maximise its impact on Karnataka’s innovation ecosystem.
Broader Implications for India’s Innovation Landscape
The approval of the Bengaluru AI Centre of Excellence underscores India’s commitment to emerging technologies and digital transformation. Bengaluru has long been recognised as a leading centre for tech innovation, often referred to as the “Silicon Valley of India,” and this initiative further solidifies that status.
By aligning government policy with industry needs and academic excellence, the CATS AI CoE is poised to attract global technology partners, increase investment in deeptech sectors, and support the growth of an AI-ready workforce. Analysts suggest that such initiatives will help India compete more effectively on the global stage, particularly in areas such as AI, robotics, automation and Industry 4.0 technologies.
Academics and entrepreneurs alike see the centre as a springboard for India’s technology leadership, especially as the country seeks to strengthen its position within global innovation networks and attract investment from multinational firms looking for collaborative R&D environments.
Looking Ahead: Training, Research and Commercialisation
Over the coming years, the Bengaluru AI Centre of Excellence will work closely with universities, private sector firms, and international research collaborators to:
- Host training programs for students and professionals aiming to build expertise in AI and deep tech
- Establish research fellowships and sponsored projects in collaboration with industry partners
- Enable proofs-of-concept and pilot deployments within commercial environments
- Support export-oriented innovation that can position Indian startups and tech firms on the global map
These strategic priorities are expected to help Karnataka build not only a highly skilled workforce, but also a pipeline of market-ready technology solutions that can be scaled across sectors and geographies.
This report is part of FFRNEWS Innovation coverage, highlighting major steps in technological ecosystem development. Details in this article are based on reporting from multiple national sources, including The Economic Times and The New Indian Express, which reported the approval of the Bengaluru AI Centre of Excellence — officially named the Centre for Applied AI for Tech Solutions — aimed at accelerating AI adoption, deeptech innovation and digital transformation across sectors. Analysts and state government officials have emphasised the centre’s role in fostering industry–academia partnerships, supporting startups, and positioning Bengaluru as a global innovation destination.
