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AI City to Be Developed Near Hyderabad Under Public-Private Partnership

Telangana to build a 200-acre AI City near Hyderabad via public-private partnership, attracting Rs 2,125 crore investment and creating 5,020 jobs statewide.

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AI City to Be Developed Near Hyderabad Under Public-Private Partnership
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11 Jun 2025 7:14 PM IST

Telangana is set to establish a cutting-edge Artificial Intelligence (AI) City near Hyderabad, covering 200 acres in the Future City zone, announced Telangana Industries Minister D. Sridhar Babu on Tuesday. The ambitious project will be developed through a public-private partnership model.

Minister Sridhar Babu stated, “We are engaging with global experts to finalize the design and technical framework of the AI City. Planning is nearly complete, and the foundation stone will be laid in the coming weeks.” This AI City aims to boost Telangana’s technology ecosystem and reinforce Hyderabad’s position as a leading hub for emerging technologies.

In a significant development, Telangana signed Memorandums of Understanding (MoUs) with two UAE-based companies — Shaiva Group and Taranis Capital — who will collaborate with five Telangana-based firms. These partnerships are expected to bring investments worth Rs 2,125 crore and generate over 5,000 jobs across the state.

Furthermore, the government has announced the release of Rs 400 crore to clear long-pending subsidy payments to Micro, Small, and Medium Enterprises (MSMEs). “With total outstanding subsidy dues of Rs 4,700 crore, we are committed to clearing these dues in phases, providing much-needed support to the MSME sector,” added Sridhar Babu.

These steps underscore Telangana’s strong commitment to fostering innovation, creating employment, and supporting local industries.

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