The government of the Indian state of Karnataka, home to "Indias Silicon Valley," Bengaluru, is facing delays in adopting its new IT policy for 2025-2030. As reported by The Times of India on July 21, 2025, the cause is a sharp debate over what place artificial intelligence should occupy in the document. The key question being discussed by state authorities and IT industry representatives is whether to create a separate, independent policy and regulatory framework for AI, or to integrate AI provisions into the general IT policy. Proponents of a separate policy argue that AI is such a transformative and unique technology that it requires its own focused approach, special funding programs, and a dedicated regulatory body. They point to the EUs experience with its comprehensive AI Act. Opponents, however, fear that creating a separate document could take too long and lead to bureaucratic delays, whereas a faster integration of AI into the existing IT policy would allow for a more agile response to the needs of the booming market. State IT Minister Priyank Kharge admitted that due to these debates and the need for broader consultations with businesses, the adoption of the IT policy is being delayed. This case is a prime example of the dilemma facing governments worldwide: how to regulate AI to stimulate innovation while effectively managing risks. The decision made by Karnataka could set an important precedent for other tech regions in developing countries.
Debate Over AIs Role Delays Adoption of New IT Policy in Indias Karnataka State
