Artificial Intelligence (AI) is rapidly transforming regional economies across the world and Karnataka stands at the forefront of this transformation in India. With a Gross State Domestic Product (GSDP) of approximately ₹25 lakh crore in 2026 and contributing nearly 8.5% to the national economy, Karnataka has evolved from being India's "Silicon Valley" to aspiring to become the country's "AI Capital." The state, led by Bengaluru's globally recognized technology ecosystem, hosts nearly 39% of India's generative AI startups and employs over 600,000 AI professionals, making it one of the largest AI talent hubs globally.