The Gujarat government has unveiled a major strategic plan to establish a world-class, dedicated cluster for information technology (IT), IT-enabled services (ITES), and artificial intelligence (AI) sectors. This ambitious project will be developed adjacent to the existing GIFT City in Gandhinagar, marking a significant push to position the state as a leading hub for the digital economy.
A Strategic Hub for Emerging Technologies
This initiative comes after the state's earlier Infocity project did not yield the expected results. Learning from past experiences, the government now aims to promote these high-growth sectors in a more organised and dynamic manner. P Bharathi, Secretary of the Department of Science and Technology (DST), stated that a multidimensional approach has been adopted to develop the AI and IT/ITES sectors on a massive scale.
"As part of several policy initiatives, we decided to develop a GIFT City-like, dedicated major cluster for AI, IT/ITES and related emerging technologies. It will be located beside GIFT City," Bharathi explained. While Dholera Special Investment Region (SIR) and Surat Dream City were also considered, the final decision favoured the location near the international financial hub.
Rolling Out the Red Carpet for Global Tech Giants
The government's roadmap is clear and ambitious. Authorities plan to actively reach out to leading global technology corporations and invite them to set up operations in the new Gujarat IT-AI City. The state intends to offer tailor-made incentives and comprehensive support to develop this emerging sector.
According to government sources, the plan includes inviting one or two of the world's top ten technology conglomerates—such as Microsoft, Amazon, Google, IBM, Meta, Oracle, and SAP—to function as "anchor units" within the cluster. To attract these firms, the government is prepared to offer customised, high-end incentive packages. These packages will cover aspects like land allocation, infrastructure, taxation benefits, and compliance flexibility.
Complementary Infrastructure and Policy Revamp
The development of the main IT-AI City will be supplemented by a broader digital infrastructure push across Gujarat. The state has proposed building seven integrated IT parks in tier-2 and tier-3 cities. Furthermore, digital connectivity and capacity will be strengthened through the establishment of one cable landing station and one large-scale green data centre.
On the policy front, officials confirmed that existing frameworks will be significantly strengthened. The state's IT/ITES policy and the Global Capability Centre (GCC) policy will be amended with a specific focus on attracting investments to the new Gujarat IT-AI City. Additionally, a new Science, Technology and Innovation (STI) Policy will be announced. The government will also introduce export-linked incentives and market-access programmes to boost IT/ITES exports from the state.
A Global Campaign for Digital Investment
To promote this project on the world stage, the Gujarat government plans to soon launch a global branding campaign called 'Invest in Digital Gujarat'. To streamline the process for potential investors, a single-window investor facilitation cell will be established. This cell will feature dedicated account managers to assist investors through every step, ensuring a smooth and supportive experience.
This comprehensive strategy, combining a prime-location cluster, aggressive outreach to tech leaders, enhanced infrastructure, and reformed policies, underscores Gujarat's serious intent to become a powerhouse in the digital and technological domains of the future.
