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With the proliferation of electronic devices in our homes and offices, Karnataka has emerged as a hub for electronics manufacturing. Rapid processing and efficiency have increased in the IT industries, witnessing unprecedented growth due to the rising demand for content-based services. Several factors make this state attractive for businesses – a highly skilled labour force with years of experience, low-cost production processes, proximity to major markets across India, and plenty of lands available for industrial purposes. The electronics and IT industry in Karnataka have grown by more than 38% every year between 2003–2006 and 2007–2010.
The abundance of Electronics and IT industry in Karnataka
According to the Center for Monitoring Indian Economy (CMIE), the electronics and IT sector accounts for a little over a third of all jobs in the state, second only to the construction industry (36.7%) – with male workers comprising around 93 per cent of this workforce.
Some of the major and upcoming IT parks in Karnataka are Infosys, NICE, Wipro, and Electronics City in Bangalore. Mphasis has also set up its Software Development Center in Bangalore.
A recent study by the Confederation of Indian Industry (CII) named Karnataka as the second-best state to invest in IT services after Andhra Pradesh.
The following is a list of notable projects set up in Karnataka
1. Teleindia Project: Symbolised India’s first foray into the world of multinational IT operations and services, this project was started in 1989 with a private investment of Rs 70 crore (US$15 million). Telemedia employed over 5,000 people in Bangalore and Bombay and was later renamed TCS.
2. ISRO-Tech: This was the first IT park in India to be set up by a government body (ISRO). It employed 2,500 people with R&D projects related to satellite communication, geospatial imaging, and telemedicine. The project also saw a collaboration with Infosys, resulting in the development of multimedia technologies such as video conferencing and managed video services.
3. ELCOT: Electronics Corporation of Tamil Nadu (ELCOT) is one of the major IT parks in India, with an initial investment of Rs. 120 crore (US$26 million). It was set up in 1996 and was the second IT park established in India after Teleindia in Bangalore by a state government. ELCOT employs over 20,000 people from all over the country year-round and has helped indirectly generate more than 30,000 jobs.
4. Karnataka State IT Infrastructure Corporation (KSITIC) is another IT park in Karnataka on the outskirts of Bangalore. It has a total area of 17.520 hectares and was handed over to the state government in 2000. The land was reclaimed from paddy fields and is completely maintained by the KSITIC. Tech Mahindra built it, the first foreign company to be allowed to set up an IT park in the country, with an investment of Rs 400 crore (US$97 million).
Electronic mechanic trade and its applicability in industries
The electronic mechanic is a term used to describe the electronic and mechanical industry employees who work with electronic devices with mechanical components; they play a significant role in making them function. The electronic mechanic trade includes former mechanics of the auto sector, which has now evolved into the electronics sector.
The electronic mechanic trade is also applicable in other industries such as industrial automation control and instrumentation, medical instruments, electric motors and generators, communication equipment, industrial machinery, etc.
List of Electronic and IT industries in Karnataka
Electronic industries in Karnataka
The following is a list of some important electronic industries set up/are being set up in Karnataka.
NICE Infotech Park,
The IBM Networking and Integration Centre (NIC) and
NICE Global Services Centre (NGSC) and
the Indian Space Research Organisation (ISRO) are the major IT companies located in Electronics City, Manipal.
The Electronic City is an initiative of the Government of Karnataka for creating an IT-business-ITC growth corridor in Bangalore.
IT industries in Karnataka
The following is a list of some important IT companies set up/are being set up in Karnataka.
1. Larsen & Toubro
2. The Wipro Limited, Bangalore Branch of The Wipro Ltd., a global information technology company headquartered in Mumbai, Maharashtra, is one of the leading Indian IT companies and is on the Fortune 500 list under the Information Technology segment.
3. Infosys Ltd.
4. Tech Mahindra India Limited (formerly Satyam Computer Services Limited) is an Indian multinational provider of information technology, networking technology solutions, and Business Process Outsourcing to the telecommunications and financial services industries.
5. Cadence Design Systems
6. Cyber Bay Software Park, Mysore, is a business centre established in 1999 with about 5.22 lakhs sq. ft; developed by the Mysore Industrial Development Authority (MIDA) and is one of the largest Industrial parks in India.
Conclusion
The electronics and IT industry in Karnataka is an important driving force of the state’s industrialisation and has created an immensely high potential for growth in the state; Karnataka has been ranked third in terms of growth rate in the IT sector among various other states of India. IT and electronics industries have about 28% of total value addition (VAT) produced by manufacturing sectors. Karnataka also has many employed persons in the IT and electronics sector with around 1.5 lakh, and is a pioneer among 27 states considered for the Finance commission Delhi.
