The Karnataka Cabinet has approved the establishment of a Centre of Excellence in Artificial Intelligence (CoE-AI) at the Indian Institute of Information Technology (IIIT), Raichur, with an outlay of ₹12 crore over five years, Minister for Home, Information Technology & Biotechnology, and e-Governance Priyank Kharge said on Sunday.
The approval was granted at a Cabinet meeting chaired by Chief Minister D.K. Shivakumar under the Karnataka Government Transaction of Business Rules, 1977.
The project will be funded through ₹5 crore earmarked in the 2026-27 State Budget and ₹7 crore under the LEAP programme.
The AI Centre of Excellence will function as a regional hub for the 13 districts of North Karnataka, aiming to decentralise Karnataka’s technology ecosystem beyond Bengaluru by promoting AI education, research, innovation and entrepreneurship in tier-2 and tier-3 cities.
The centre will develop AI-based solutions for key sectors, including agriculture, healthcare, education, MSMEs and governance. It will also establish AI development laboratories, advanced computing infrastructure, prototype development facilities, skill-development programmes, start-up incubation, innovation support and regional outreach initiatives.
To oversee the project, the government will set up a Special Purpose Vehicle (SPV) named IIIT Raichur ARIA (AI Research and Innovation Arena). The initiative will be implemented in three phases, beginning with infrastructure creation and progressing towards innovation, entrepreneurship and long-term self-sustainability.
Mr. Kharge said the project would position Raichur and North Karnataka as a major hub for Artificial Intelligence, creating world-class opportunities for students, researchers, start-ups and industry.
