Published Jun 16, 2026 | 2:42 PM ⚊ Updated Jun 16, 2026 | 2:53 PM
Chief Minister Revanth Reddy and IT Minister Sridhar Babu at the ICHOR inauguration. File Photo
Synopsis: Telangana’s efforts since 2023 suggest that other states too can create their own innovation architectures suited to local realities.
As artificial intelligence reshapes economies and societies across the world, India faces a larger question: can technological transformation be both globally competitive and socially inclusive? The answer may lie not only in national strategies, but also in the ability of states to emerge as laboratories of innovation.
Countries such as Estonia, Singapore, South Korea and Israel have demonstrated that sustained technological leadership is rarely the result of isolated initiatives. It is built through institutions that connect talent, research, entrepreneurship and governance. For a country as vast and diverse as India, a similar approach requires States to become active co-creators of the digital future.
Over the last two years, Telangana has attempted precisely that.
Since December 2023, the Government of Telangana, under the leadership of Chief Minister A Revanth Reddy and IT and Industries Minister D Sridhar Babu, has sought to build an integrated ecosystem where artificial intelligence, digital public infrastructure, skilling, startups and citizen-centric governance reinforce one another rather than function in silos.
The Global AI Summit hosted in Hyderabad in September 2024 marked an important milestone. Bringing together over 2,000 delegates and more than 150 speakers from industry, academia and government, the summit positioned Telangana among the emerging centres of AI discourse and collaboration. More importantly, it catalysed partnerships with global technology leaders, research institutions and development organisations, creating the foundation for long-term capability building.
The State’s AI roadmap rests on a simple but important principle: AI should not remain confined to a handful of corporations. Instead, it must become an instrument for improving governance, healthcare, education and economic opportunity. The commitment to equip five lakh professionals with specialised AI skills by 2027 and the effort to integrate AI literacy into schools reflect this vision.
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Perhaps the most distinctive aspect of Telangana’s approach is its emphasis on digital public infrastructure.
The Telangana Data Exchange (TGDeX), India’s first State-led AI data platform, seeks to democratise access to datasets and AI models. In doing so, it lowers barriers for startups, researchers and innovators, enabling the development of solutions that address public challenges. Such an approach echoes India’s broader success with digital public infrastructure and extends it into the age of artificial intelligence.
The experience of countries such as Estonia illustrates the transformative power of digital platforms and institutional trust. Telangana’s efforts suggest that Indian states can similarly create their own innovation architectures suited to local realities.
Equally important is the State’s focus on talent.
Institutions such as Y-Hub, TASK and T-Hub together represent an innovation continuum that spans schools, universities and startups. Young students are exposed to problem-solving and entrepreneurship, graduates are equipped with industry-relevant skills, and startups are provided with mentorship, funding opportunities and market access. Such continuity is essential because innovation ecosystems cannot be built through isolated interventions.
The results are beginning to show.
Over the past two years, more than 2.3 lakh students have been trained through TASK, nearly 11,000 have secured placements, and T-Hub has supported over 1,750 startups. Hyderabad’s startup ecosystem is increasingly expanding beyond IT services into deep-tech, semiconductors and AI-driven enterprises. The collaboration with Google for Startups and initiatives aimed at supporting next-generation companies reflect this transition towards an innovation-led economy.
Global technology companies are also beginning to view Hyderabad differently. Google’s decision to establish its first Asia-Pacific Safety Engineering Centre in Hyderabad underscores the city’s growing significance in areas such as cybersecurity and responsible AI. Increasingly, Hyderabad is being seen not merely as a destination for cost arbitrage but as a centre for high-value innovation.
Another significant trend is the rise of Global Capability Centres (GCCs). As multinational corporations shift strategic functions, engineering and research activities to India, Hyderabad is emerging as one of the country’s most dynamic destinations. This evolution represents a broader transition from a services-driven economy towards one powered by intellectual property, research and product innovation.
Technology, however, derives its true value when it improves the lives of citizens.
Telangana’s emphasis on digital governance through platforms such as MeeSeva, T-Wallet and AI-enabled service delivery demonstrates how technology can enhance accessibility, transparency and convenience. These initiatives point towards a future in which governments become increasingly responsive and citizen-centric.
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The larger lesson extends beyond Telangana.
India’s AI ambitions cannot succeed through a Delhi-centric approach alone. A nation of continental scale requires multiple centres of experimentation and excellence. States must become engines of innovation capable of translating national aspirations into local outcomes.
Israel built innovation density through collaboration among academia, industry and defence. Singapore invested heavily in institutional capacity and talent. South Korea created industrial ecosystems that sustained technological leadership over decades. Telangana’s evolving experience suggests that Indian states, too, can chart distinctive pathways to global competitiveness.
The coming decade will be defined not merely by who develops the most advanced technologies, but by who deploys them most effectively for societal benefit. In that sense, Telangana’s experiment is about something larger than technology itself. It is an attempt to answer a fundamental question confronting India: how can innovation become an instrument of inclusion, productivity and public good?
If India is to emerge as a leading AI nation, it will require not one model, but several centres of excellence. Telangana’s experience over the last two years suggests that when artificial intelligence, digital public infrastructure, skilling and entrepreneurship are pursued together, States can become powerful architects of India’s digital century.
(Views are personal. Edited by R Rajesh Kumar.)
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