VISAKHAPATNAM: The Andhra Pradesh government has launched the Innovation and Startup Policy (4.0) for 2024-2029, aiming to foster entrepreneurship, create 20,000 startups, and generate one lakh jobs over the next five years.
The policy replaces the AP Information Technology Policy (2021-2024), which ended on September 30, 2024. Secretary (IT, Electronics, and Communications) Katamneni Bhaskar issued a government order formalising the new framework on Monday.
The policy seeks to promote 20 Soonicorns and 10 Unicorns while establishing 10 new Centres of Excellence (CoEs) in AI, blockchain, quantum computing, health tech, EVs, and advanced manufacturing. AP, categorised as a ‘Leader’ in the 2022 State Startup Ranking by the Department for Promotion of Industry and Internal Trade (DPIIT), aims to enhance its innovation ecosystem across Visakhapatnam, Vijayawada, Tirupati, Kurnool, Anantapur, and Kakinada.
Currently, 6,658 startups operate in the State, with 2,400 recognised by DPIIT, including 1,159 women-led enterprises. The AP Innovation Society (APIS), under the IT, Electronics, and Communications Department, is spearheading efforts to promote innovation through 46 incubators and six CoEs focused on IoT, AI, rural innovation, maritime shipping, biotech, and medical devices.
The government has designated 15 key departments, including IT, agriculture, health, environment, and transport, to allocate an annual budget of Rs 10-20 crore to support startups through innovation challenges, hackathons, and proof-of-concept projects. A key highlight of the policy is the establishment of the Ratan Tata Innovation Hub (RTIH) in Amaravati, which will serve as the state’s central innovation hub.
It will be supported by five regional centres in Rajahmundry, Vijayawada, Vizag, Tirupati, and Anantapur. The governance structure will include a Board of Governors, led by a promoter and comprising regional presidents, independent experts, and government, academia, with others.
To support the RTIH and regional centres, the government will provide Rs 50 crore in seed capital to the RTIH and Rs 30 crore to each regional centre. Over five years, funding of up to Rs 250 crore for the RTIH and Rs 100 crore for each regional centre will be allocated based on performance.