JOIN USThe focus of the policy is to attract manufacturing related investments by focusing on 3 key activities — promote Karnataka as semiconductor design hub, attract investments in high-tech semiconductor manufacturing, promote generation and use of green energy (specifically solar energy) and focus on manpower development.
To encourage innovation and R&D in chip design, product development, telecom etc., government will set up a ‘Karnataka Fund for Semi Conductor Excellence’ of Rs 10 crore. It will be available to private companies covering up to 50 per cent of their R&D expenses, subject to limit of Rs 10 lakh per unit.
The State will provide additional amount Rs 25 crore, towards 26 per cent contribution to ‘KITVEN IT Fund’ for raising funds from market to assist start up semi-conductor units engaged in design and embedded software. It will provide financial assistance to firms for filing IP and investment promotion subsidy for setting up of semi conductor units in Tier-2 cities including Mysore, Mangalore, Hubli in accordance with Karnataka Industrial Policy 2009-14.