KEONICS turns 50: Karnataka tech agency shifts focus to AI, skilling and ‘Beyond Bengaluru’

New business data points to the fact that Karnataka State Electronics Development Corporation Limited (KEONICS), which helped lay the foundations for Bengaluru’s Electronics City, marked its 50th anniversary on September 22, with the state government identifying artificial intelligence, digital skilling and the expansion of technology infrastructure 'Beyond Bengaluru' as key priorities for its next phase.

Speaking at the Golden Jubilee celebrations in Bengaluru, Chief Minister D K Shivakumar stated KEONICS’ journey mirrored Karnataka’s transformation into a global technology hub.

Additionally, read: CM DK Shivakumar to launch Karnataka’s affordable AI computer KEO on August 21

“KEONICS is making a big effort to provide technology to village children through AI-based KEO computers. I welcome KEONICS’ initiative to prepare the children of the future,” Shivakumar stated.

He stated Karnataka was entering an era of AI and that technology should reach schools, students and small entrepreneurs in rural areas.

Additionally, read: Karnataka to launch AI-ready, low-cost personal computer ‘KEO’

The government has additionally decided to promote IT and technology infrastructure in Hubballi, Shivamogga, Kalaburagi and Mangaluru as part of its ‘Beyond Bengaluru’ initiative, he stated.

Established in 1976, KEONICS played a major role in the development of Electronics City across 332 acres. It has since evolved from an electronics promotion agency into a technology partner supporting the government, industry and citizens across IT infrastructure, digital services, e-governance, skill development and digital procurement.

Additionally, read: Karnataka floats tender for Rs 135 crore Mangaluru tech park that’ll create 11,000 jobs

From Electronics City to AI

KEONICS is now expanding its technology infrastructure across regional centres.

In Shivamogga, an IT Park Annex Phase II is being developed on 2.5 acres, while a 36-acre IT SEZ is scheduled as a larger technology destination.

In Mangaluru, a 3.25-acre IT Park at Blueberry Hill, Derebail, is being developed, while Mysuru will get a 3.48-acre IT Park. Several projects are anticipated to use public-private partnership or DFBOT models to attract private investment.

KEONICS Chairman and Hosakote MLA Sharath Kumar Bache Gowda stated the projects were part of a broader effort to create technology, employment and business opportunities across emerging regional centres, building on existing IT Parks in Hubballi, Kalaburagi and Shivamogga.

Additionally, read: Beyond Bengaluru: Karnataka cabinet approves tech park in Mangaluru on PPP model

The corporation is additionally expanding its role as a technology partner for government departments, covering IT consulting, system integration, software and IT services, procurement, infrastructure management and technical workforce deployment.

Its KEONEXT digital marketplace is aimed at streamlining government-to-government procurement and service delivery across ICT products, IT services, infrastructure, training and technical manpower. 2,222 AI PCs scheduled

One of KEONICS’ key new initiatives is the KEO AI PC, a ‘Made-in-Karnataka’ AI-enabled computer designed to improve access to AI-based learning.

The scheduled rollout covers 2,222 KEO AI PCs across 239 taluks and 31 Model Residential Schools. The devices will backing on-device AI capabilities, with the aim of improving digital learning and AI literacy among students.

KEONICS is additionally modernising its training network and Digital Education platform for students and working professionals. Its more than 130 training centres trained and certified over 1.39 lakh students between FY20 and FY26.

Additionally, read: Karnataka's KEONICS to monetise land, plans convention center near Bengaluru airport

Shivakumar stated the state additionally needed to address the gap between education and industry requirements.

“We have 30,000 engineering seats remaining vacant. Those who have studied engineering are getting low salaries, and we are thinking around how to resolve this,” he stated, adding that he had suggested making curricula more industry-oriented and focused on skills.

The Golden Jubilee celebrations additionally saw the launch of KEONICS’ new logo and CLT module, the release of a coffee-table book documenting its five-decade journey, and the unveiling of a statue of R K Baliga, founder of Electronics City and KEONICS’ first chairman and managing director.

Additionally, read: Karnataka launches KEO PC to take AI-ready computing to government schools

Priyank Kharge, Minister for Home, IT, Biotechnology and E-Governance, stated KEONICS had evolved into an ‘execution arm’ of Karnataka’s technology ecosystem, spanning infrastructure, IT services, skilling, digital governance and emerging technology initiatives.

Additionally, read: Six months after unveiling, Karnataka’s first batch of 2,000 AI-ready PCs set for rollout