State to become first customer for 100 start-ups under ‘Government First’ initiative

The Karnataka government has launched a pioneering initiative called 'Government First' to become the inaugural customer for up to 100 start-ups over a three-year period, as detailed by Priyank Kharge, the State's Minister for Home, Information Technology, Biotechnology, and E-Governance. This ambitious endeavor, part of the Elevate program under the Karnataka Startup Policy 2025-30, is set to allocate a budget of ₹25 crore to the selected start-ups.

The primary goal of this initiative is to create early market opportunities for innovative technologies and solutions developed by these start-ups, transforming the government's role from mere buyer to an active partner in fostering innovation.

The scope of the initiative encompasses a wide array of services and technology-based solutions, including information technology, artificial intelligence, data analytics, consultancy services, design, and transportation systems. Start-ups can propose solutions to the challenges faced by various government departments and explore creative answers to support the administration. Eligible start-ups will be provided with up to ₹25 lakh each to deploy and evaluate their solutions in real-world government environments.

Out of the total grant of ₹25 crore, 95% (or ₹23.75 crore) is designated for supporting the start-ups, while the remaining 5% (or ₹1.25 crore) is set aside for administrative expenses. The State government has approved this initiative, aiming to not only serve as a customer but also to actively participate in the innovation ecosystem by adopting successful solutions for future government procurement.