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Karnataka Innovation Authority


Karnataka, as a State, has always cherished its leadership position on both the Domestic as well as the Global Maps of Entrepreneurship and Innovation.


  • Karnataka ranks as a Top Performer under the National State Startup Ranking Framework.
  • Bengaluru is ranked as the 4th largest technology cluster in the world.
  • NITI Aayog has credited the State’s ecosystem to be the most Innovative in the country (India Innovation Index 2019).


Karnataka and especially Bengaluru has emerged as an innovation hub in the country. Bengaluru is one of the Top 20 global innovation hubs, counted amongst the likes of Tokyo, London, Beijing, Tel Aviv, New York, etc.


The State of Karnataka is in a prime position as India’s Technology hub to promote cutting edge innovation in areas across many sectors. However, the deployment and regulation of innovative solutions may not be well served under the existing regulatory paradigms and structures. To encourage innovations in different areas in the  State,  Karnataka  Innovation  Authority has been established under the Chairmanship of Hon’ble Chief Minister, Government of Karnataka, under the Karnataka Innovation Authority Act.


Karnataka Innovation Authority Act has been enacted for the creation of Regulatory Sandboxes in Karnataka. ‘Regulatory Sandboxes’ broadly describes a set of conditions under which innovative technologies can be tested through relaxing regulatory requirements, in a controlled testing environment.   


The Authority has the powers to relax the State Laws only, as it deems fit and permits for the purpose of establishing a Regulatory Sandbox, in accordance with the Karnataka Innovation Act.


The Sandbox Operator under the Karnataka Innovation Authority Act is defined as ‘An agency or instrumentality of the Government of Karnataka, notified by the Authority under Section 13 of KIA Act to oversee and implement a Regulatory Sandbox. The rules with respect to the Karnataka Innovation Authority are specified in the Karnataka Innovation Authority Rules.


After the Regulatory Sandbox is notified by the Authority, the Sandbox Operator shall be responsible for inviting applications from Industry/ Academia to participate in the Regulatory Sandbox and for overseeing compliance of all participants with the terms and conditions of the Regulatory Sandbox. The Sandbox Operator shall be responsible for the administrative functioning of the Regulatory Sandbox.


The innovating firm is allowed to experiment and gain exposure to a live market (albeit with limited customers and within a limited time frame), without implementing the regulatory requirements which would normally be applicable in offering its product. Implementing its product under specific known conditions also allows firms to reduce their time to market.


The regulator can monitor the compliance of firms in the sandbox and use the data to appropriately draft regulations that are more appropriate for the particular sector. Once the sandbox experimentation ends, the firm can enter a broader market. During the sandboxing period, it ensures better protection for consumers through greater certainly and oversight.


Karnataka Innovation Authority has announced the setting up of the 1st Regulatory Sandbox with a Sandbox Operator. Karnataka Innovation Authority invites proposals from Government Departments/Private Parties wishing to set up and operates such Regulatory sandbox. The Regulatory Sandbox will be sector agnostic and will accept applications across all domains.


CLICK HERE for Karnataka Innovation Authority FAQ!

The application window for submission of application for setting up of the 1st Cohort is open now 

 CLICK HERE TO APPLY  >⇒>  For Karnataka Innovation Authority - Application or KIA Services

General Instructions For Application Submission

1. Applicant needs to Register in Seva Sindhu portal and Login to it
2. Applicant to Search and Apply for the Service 'Application to Establish a Regulatory Sandbox' online
3. Applicant to tender the application processing fees through electronic transfer
4. Applicant to eSign the final Application during submission
5. Concerned Authority to process the application
6. Selected Applicant to be notified


Fee structure for Application for Establishing Regulatory Sandbox for Sandbox Operators

Processing Fees for Government Agency - NIL

Processing Fees for companies (Rs.)

Paid Up Capital - Up to 50 Million (5 Crores)

Rs. 5,00,000/- + (18% GST)

Paid Up Capital - Up to 50 to 100 Million (5 -10 Crores)

Rs. 10,00,000/- + (18% GST)

Paid Up Capital - Up to 100 to 150 Million (10 -15 Crores)

Rs. 15,00,000/- + (18% GST)

Paid Up Capital - Up to 150 to 500 Million (15 -50 Crores)

Rs. 20,00,000/- + (18% GST)

Paid Up Capital - Up to 500 to 1000 Million (50 -100 Crores)

Rs. 25,00,000/- + (18% GST)

Paid Up Capital - Above 1 Action (Above 100 Crores)

Rs. 30,00,000/- + (18% GST)

Paid Up Capital - Above 10 Action (Above 1000 Crores)

Rs. 40,00,000/- + (18% GST)

 For Technical Assistance Contact - 

080-44554455/  080-22230282/ 080-22279954 / 8088304855/ 6361799796

Last Updated: 07-02-2022 03:10 PM Updated By: Admin

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