A monumental ₹3,500 crore technology park is set to redefine Mangaluru's economic landscape, positioning the coastal city as Karnataka's next premier technology hub. The ambitious project, announced by Minister for Electronics, IT, and BT Priyank Kharge at the Mangaluru Technovanza 2025, represents a cornerstone of the state's 'Beyond Bengaluru' initiative, a strategic effort to decentralize IT growth and cultivate new innovation clusters across Karnataka.[1] This development is designed to accelerate Mangaluru's emergence as a strategic alternative to Bengaluru's saturated tech scene, with a proposal for the city's largest tech park expected to receive cabinet approval imminently.[2][1][3][4] The plan aims to leverage the city's unique strengths and transform it into the "Silicon Beach of India," a moniker gaining traction within the tech community.[5][6][7]

The formal proposal for the tech park outlines a significant investment outlay of ₹3,500 crore to develop a facility on 3.25 acres of land, featuring a built-up area of 3.5 lakh square feet.[2][3][4] This initiative is spearheaded by the Karnataka Digital Economy Mission (KDEM), which has been instrumental in promoting Mangaluru as a viable tech destination through events like Technovanza.[2][3][6] The project, which has been discussed for several years and faced previous delays, now appears to have firm government backing and renewed momentum.[8] It will be developed on land owned by the Karnataka State Electronics Development Corporation Ltd. (KEONICS).[9] This state-backed infrastructure push is a clear signal of the government's intent to create a sustainable ecosystem for technology companies, from startups to global capability centers, to thrive in the coastal region.

Mangaluru's ascent as a technology hub is not accidental but the result of a confluence of strategic advantages.[7] The city offers a compelling value proposition with operational costs estimated to be 20% lower than in major metro areas and a significantly lower employee attrition rate.[10] Its robust infrastructure includes an international airport and a major port, providing excellent global connectivity.[11][7] The region is also a rich source of talent, with over 150 degree colleges and 25 engineering institutions producing a steady stream of STEM graduates annually.[10] This combination has already attracted international firms like the Denmark-based company 'EG', which rapidly expanded its local workforce, and Bose Professional, which is also planning to grow its base in the city.[5] The burgeoning private sector has already added significant IT infrastructure, with plans to add another half-a-million square feet of IT space in the coming months, underscoring the growing confidence in the city's potential.[5]

A key focus of this expansion is the cultivation of a vibrant ecosystem for artificial intelligence and startups. The discussions at Technovanza 2025 went beyond infrastructure, touching upon crucial policy initiatives to spur innovation.[2][3] A notable proposal came from former Infosys CFO Mohandas Pai, who called for an "Elevate AI 100" program modeled on a previous successful state initiative to nurture startups.[2][3][4] Minister Kharge responded enthusiastically, pledging ₹5 crore from the government and challenging the country's top venture capitalists to match the investment, creating a dedicated fund for AI startups within Karnataka.[3][4] This focus on AI aligns with the state's broader, ambitious Global Capability Centres (GCC) policy, which aims to attract 500 new GCCs by 2029 and generate 3.5 lakh jobs.[2][4] Mangaluru is seen as a prime location to capture a significant share of this growth, building a future-focused economy centered on deep tech and innovation.[10]

The planned ₹3,500 crore tech park is more than just a real estate project; it is a catalyst for the comprehensive economic transformation of Mangaluru and the surrounding coastal region. The city’s IT sector already employs around 20,000 people and generates over ₹3,000 crore in annual revenue, with ambitions to increase the workforce tenfold by 2033.[10] The establishment of the tech park is a pivotal step in realizing this vision, providing the physical and institutional anchor for the "Silicon Beach" to grow. By fostering a collaborative environment that brings together industry leaders, startups, academia, and investors, Mangaluru is methodically laying the groundwork to become a critical node in India's digital economy and a significant global destination for technology and AI innovation.[6][7]