The Karnataka Budget 2026-27 includes allocations for artificial intelligence, robotics, electronics, semiconductors and science infrastructure. Chief Minister Siddaramaiah announced an expected investment of about Rs 45,000 crore in the semiconductor and electronics sector. Global companies including Foxconn, Lam Research and Applied Materials are expanding their presence in the state.
The budget establishes the Bengaluru Robotics and AI Innovation Zone (BRAINz) as a specialized campus for AI and robotics research at the AI and Robotics Technology Park (ART-PARK) under the Indian Institute of Science (IISc). The project is a collaboration between IISc, the Indian Space Research Organisation (ISRO) and the Karnataka Electronics Development Corporation (KEONICS).
A Centre of Excellence for AI will be set up at IIIT Raichur with an outlay of ₹5 crore. The budget also allocates ₹233 crore for a Science City in Bengaluru. Six new planetariums will be developed in the districts of Vijayanagara, Ballari, Chitradurga, Yadgir, Koppal and Bidar at a total cost of ₹24 crore.
Karnataka contributes about 43% of India's information technology exports. Software exports are expected to reach Rs 11.5 lakh crore by 2030 under the state's Information Technology Policy 2025-30. The budget further plans to establish modern AI data labs in roughly 50 government colleges in Tier 2 and Tier 3 cities. These measures were highlighted in the Chief Minister’s budget speech and in a post by Minister Priyank Kharge.
