How Bengaluru Evolved To Being Home To Hundreds Of Start-Ups And Tech Companies


Bengaluru, the capital city of the state Karnataka was once known as city of lakes, and in the last few decades, Bengaluru has come in a long way and now known as the IT city and start-up capital of India. What are the key factors that made Bengaluru the IT Hub of India, and why does every entrepreneur and engineers in India prefer Bengaluru over other cities in India to start a venture? Let's find out.

How Bengaluru Evolved To Being Home To Hundreds Of Start-Ups

Bengaluru is located in the Southeast part of India, with an average population of 84 lakh. The city is known for a lot of things, and draws attention from across the globe, especially in the IT sector and start-ups. Here is an in-depth analysis on why Bengaluru Become the go-to place for IT companies and start-ups.

Statistics And Numbers

According to a report, there are more than 67000 IT companies in Bengaluru, out of which at least 12000 companies are currently functioning (these numbers are from 2017). In fact, another report suggests that Bengaluru houses more than 35% of the total IT professionals in India, which means a whopping 2.5 million people are working in Bengaluru in the IT sector.

It is impossible to pinpoint a single reason that made Bengaluru a hotspot for IT professionals. Here are some of the reasons that could have helped Bengaluru to become the home to hundreds of start-ups and tech companies.

Backed By Ruling Govt

Soon after India got independence in 1947, Govt of India and Govt of Karnataka in collaboration started many public sector establishments related to electronics and manufacturing. HAL (Hindustan Aeronautics Limited), ITI (Indian Telephone Industries), and HMT (Hindustan Machine Times) were some of the earlier public sector start-ups of Bengaluru.

In the initial stage, people who represented Bengaluru and Karnataka have worked hard to make Bengaluru the IT and Start-up hub. It all started with Mr. R. K. Baliga, he first Chairman and Managing Director of Karnataka State Electronics Development Corporation. He was one who conceptualized the idea of Electronics City in 1970s. R.K Baliga with his power bough a sum of 335acres of land outside South Bengaluru, which is now known as the IT Hub of Bengaluru.


Thanks to the Information Technology Policy of 1997, Govt of Karnataka started "Karnataka Start-up Policy" which eased the burden on those who were planning to setup up their own company.

Similarly, Govt of Karnataka started to sanction different schemes and even funded some of the early start-up ideas as well, and till date, Karnataka Govt supports and is the most start-up friendly state in the country.

On the same line, Govt of Karnataka also made different schemes to support SC/ST youths by dedicating a budget of 20 crores to support and nurture start-up concepts, especially for the minority. In 2018, Govt of Karnataka announced to support up to 50 lakhs for those who have a vision to solve some real-life issues. In January 2018, Govt of Karnataka funded 44 start-ups in the incubation programme to uplift the start-up ecosystem.

Priyank Kharge, IT Minister Of Karnataka Said

Karnataka is ranked at number four in R&D and number two in providing the best ecosystems for startups. And the reason I believe for this success is that we have some of the best policies that have been crafted in the country for industries across verticals.

Govt of Karnataka recently announced skill enhancement program by allocating Rs 32 crore and Rs 288 crore under the scheme a scheme called Yuva Yuga in collaboration with Centre of Excellence (CoE). Yuva Yuga is an industry-led training program that aims to make our people more employable and we aim to train 1.1 lakh people by the financial year end of 2020, said, Priyanka Kharge, IT Minister of Karantaka.

Pleasant Weather From Throughout The Year

  • For good performance of the IT companies, providing a comfortable environment for the employees is a crucial factor. Due to the tropical location of the Bengaluru (960 meters above sea level), it always maintains an ambient temperature in Summer, Winter, and Rainy season.
  • Bangalore's winter climate is usually quite warm, with plenty of sunny weather and blue skies. Unlike a few northern cities, where the temperature falls below 5 degree centigrade, especially in the Winter.
  • The Bengaluru weather is not only helpful for humans, it is also good for machines and servers, as most of the computers and electronic devices work well in the ambient temperatures.
  • IT being a stressful job, the pleasant environment of Bangalore makes it preferable for peaceful working condition.
  • Hence, Bangalore is specially called as 'Silicon Valley' of India. It is the IT hub of the country and the home of many upcoming start-ups in the country.
  • It is not just the IT hub but is the house of automotive, aeronautics, space research, biotechnology, silk and defence science research and electronics industry.
  • Most of the IT companies in Bangalore located at outer ring road and also nearby places like white field, electronic city, Koramangala, Domlur.
  • To conclude, the lively weather of Bangalore throughout the year helps to refresh the employees and make them devise innovative ideas for development of the company.
  • These points do re-iterate the fact that, Bengaluru is one of the best places to setup an IT company, as weather favors both workers and machines. Did you know that it is possible to live in Bengaluru without an AC or Air Conditioner?

Mixed Crowd From Across The Globe

Thanks to Bengaluru's welcoming weather, the crowd that you can find in Bengaluru is a bit mesmerizing. The city has a mixed culture, as people from different parts of the world comes to Bengaluru in search of job and education.

Bengaluru is also famous for the fact that it has more number of engineering colleges, in fact, roughly you can spot at least 1 engineering college for every one kilometer in perimeter. Soon after the graduation, most of the students get placed in an IT company or some of them start their own starting with their budding ideas, some of which will succeed and some of them will not.

For the very reason, most of the students who studied in Bengaluru are likely to stay in Bengaluru. Startup and IT people take their weekends seriously, and Bengaluru is also known for the night life, where the city houses the most number of PUBS compared to any other city in India.

Our View On Bengaluru Being The IT Capital Of India

In the last few years, Bengaluru has earned many nicknames including "City of Baked Beans", "Garden City of India", Silicon Valley of India", and "Global Hub of Technology Start-ups". To make a perfect biryani we need to have the right kind of meat, right mix of masalas, and, one need to have the heart of making the perfect biryani.

From the earlier days, Bengaluru has the idea of nurturing new things like start-ups. You will always feel home in Bengaluru; thanks to the mixed diversity it has. The Govt effort, people's hard work, and the weather has made Bengaluru the IT and start-up hub of India.

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