Karnataka Backs Mangaluru Tech Push With ₹1.93 Cr Grant to Vertex

Karnataka’s push to decentralise its technology economy took a tangible step forward this week as the state government released one of the largest grants under its Beyond Bengaluru mission to Vertex Managed Workspace in Mangaluru.

The ₹1.93 crore grant, issued through the Department of Electronics, IT & BT, is aimed at supporting coworking and enterprise-grade managed workspaces outside Bengaluru, signalling a sharper focus on regional execution, not just policy intent.

The announcement was made by Shri Priyank Kharge, Hon’ble Minister for Electronics, IT & BT, Government of Karnataka, alongside Gurudatta Shenoy, Managing Partner, Vertex Managed Workspace, with facilitation support from the Karnataka Digital Economy Mission (KDEM).

From Policy To Execution Outside Bengaluru

While Karnataka’s IT policies have long emphasised regional development, this grant stands out for its size and timing. It marks one of the first major disbursements under the Beyond Bengaluru mission to a workspace operator located outside the capital.

Addressing the media, Shri Priyank Kharge, Hon’ble Minister for Electronics, IT & BT, Government of Karnataka, described Beyond Bengaluru as a growth-and-execution strategy rather than a symbolic initiative.

“This milestone represents one of the first and largest grants under the Beyond Bengaluru mission to a workspace operator outside Bengaluru,” Kharge said. “By backing enterprise-grade workspace platforms in emerging cities, we are creating new engines of employment and innovation.”

He added that Mangaluru already hosts over 10 global capability centres (GCCs), with more than one million square feet of Grade A office space under construction, and has supported over 40 companies and 8,000 jobs in the last 24 months.

Why Mangaluru Is Emerging As A Strategic Tech Cluster

The grant underscores Mangaluru’s growing importance in Karnataka’s distributed technology map. Positioned as an emerging hub for IT services, GCCs, and innovation-led enterprises, the city is increasingly being viewed as a viable alternative to Bengaluru’s saturated ecosystem.

According to Dr N. Manjula, IAS, Secretary, Department of IT & BT, Government of Karnataka, regional clusters are expected to play a measurable role in the state’s economic growth.

“We see our clusters contributing close to 10% of the digital economy to the state’s GDP in the next five years,” she said, adding that continued policy support is essential to sustaining growth across cities.

KDEM’s Role In Turning Strategy Into Infrastructure

The Karnataka Digital Economy Mission has been central to operationalising the Beyond Bengaluru framework—coordinating infrastructure readiness, enterprise outreach, and ecosystem development across multiple cities.

Sanjeev Kumar Gupta, CEO, KDEM, said the Vertex grant is intended to serve as a reference point for other emerging tech cities.

“This shall be a story for other emerging tech cities to emulate,” Gupta said. “Vertex has gone beyond providing physical infrastructure by enabling a full enterprise ecosystem for global companies, GCCs, and technology firms.”

Vertex’s Expanding Footprint And Employment Impact

Vertex Managed Workspace has positioned itself as a key enabler of enterprise expansion in Mangaluru, supporting startups, SMEs, and multinational firms through managed, enterprise-ready facilities.

Currently supporting employment for over 2,250 professionals, Vertex plans to scale up to 6,000 seats in the region, deepening Mangaluru’s appeal as a destination for global enterprises and investors.

Acknowledging the government’s support, Gurudatta Shenoy, Managing Partner, Vertex Managed Workspace, said the grant reinforces confidence in the city’s long-term growth potential.

“Through our Mangaluru operations, Vertex today supports employment for over 2,250 professionals, making us the largest managed workspace platform outside Bengaluru,” Shenoy said.

Beyond the immediate funding impact, the grant sends a broader signal to enterprises evaluating expansion beyond Bengaluru. Karnataka’s approach is increasingly focused on aligning policy capital with execution-ready platforms that can absorb enterprise demand quickly.

As pressure builds on metro-centric growth models, initiatives like this position cities such as Mangaluru as integral to the state’s next phase of digital and employment-led growth.