Karnataka’s AVGC-XR Policy To Generate 30,000 Jobs, Boost Exports By 80% In Sector
Karnataka government on Wednesday introduced Animation, Visual Effects, Gaming, Comics, and Extended Reality (AVGC-XR) Policy 3.0 (2023-28) during the Bengaluru Tech Summit 2023. The policy will look to generate 30,000 new high-quality jobs in the AVGC-XR sector and ensure that exports constitute at least 80 per cent of the industry's total revenue by 2028.
The AVGC-XR Policy 3.0 has outlined goals to propel Karnataka into a global innovation leader in AVGC-XR technologies. A government note mentioned the creation of a robust talent pool, fostering sustainability, and inclusivity within the AVGC industry. The policy envisions the state generating 30,000 high-quality jobs, positioning Karnataka as a key player on the international stage in the AVGC sector.
Built around six strategic pillars, the policy will focus on skill development, sustainable infrastructure, empowering startups and MSMEs, global market access, incentives and financial support, and a special emphasis on 'Mobile First' AVGC products. The pillars include the establishment of skill advisory committees, development of AVGC-XR Park as a Special Economic Zone, creation of venture funds and formation of Global Innovation Alliances.
India's contribution to the global Animation, Visual Effects, Gaming, and Comics (AVGC) market stands at approximately USD 2.5-3 billion, as reported by the 2022 AVGC taskforce. In terms of employment, the AVGC sector engages around 1.85 lakh professionals directly, with an additional 30,000 individuals in indirect roles. Industry experts project a substantial growth trajectory for the sector, anticipating a robust expansion of 14-16 per cent over the next decade.
According to the Karnataka government, the newly introduced policy will offer financial support through reimbursement for skill development and job creation, early-stage startup support, grants for production, and R&D incentives.
Additionally, regulatory sandboxes will be established to foster innovation, and a special focus will be given to environmental sustainability and inclusivity, especially for underrepresented communities.
While addressing challenges such as skill gaps and funding, the policy will also look to open up opportunities for innovation, particularly in areas like mobile-first products and VR/AR technologies. The state said it expects to drive growth through the integration of advanced technologies such as AI, blockchain, and immersive technologies into the AVGC sector.
