From Pilot to Purchase Order: Karnataka Opens Government Problems to Startups

For startups trying to sell technology to government, getting the first public-sector customer can often be harder than building the product itself. Karnataka is attempting to shorten that journey by putting real government problems — and potential work orders — directly in front of startups.

The state has opened the first call under its **Government First** initiative, inviting Karnataka- based startups to develop deployment-ready solutions for challenges identified by government departments. Selected companies can test their products in live government environments and receive work orders of up to **₹25 lakh** if their pilots meet the required benchmarks.

The first set of challenges comes from two areas. Under Praja Seva, the government is seeking AI-powered grievance management, a unified citizen call centre, AI-enabled e-office workflows and technologies that improve the availability of citizen-facing digital services. Bengaluru’s water utility, BWSSB, is separately looking for solutions around reducing non-revenue water,

wastewater reuse planning, intelligent asset management, GIS-led intelligence and digital twins for water management.

The programme is specifically aimed at startups whose products are mature enough for real- world deployment rather than businesses still at an early research stage. Successful pilots could move beyond testing into wider adoption by government departments, turning public agencies into early customers rather than simply grant providers.

Government First was operationalised in September under the Karnataka Startup Policy 2025–30. The initiative carries a total outlay of **₹25 crore** and aims to support around **100 startups over three years**, with implementation led by the Karnataka Innovation and Technology Society.

Applications for the first call remain open until **5 PM on October 23, 2026**. The bigger experiment, however, is procurement itself: whether giving startups defined problems, live testing environments and a clear route to paid deployment can make government a more practical first customer for emerging technology.