The Uttar Pradesh government has given a green signal for the development of the capital city Lucknow as an artificial intelligence (AI) city, solidifying the ‘city of nawabs’ as the emerging IT hotspot of the country.
Under the leadership of Chief Minister Yogi Adityanath, a comprehensive action plan has been formulated for establishment of an AI City in Lucknow, and the implementation process has been initiated by the UP Electronics Corporation Limited (UPLC).
To facilitate this initiative, UPLC has called for applications through Expression of Interest from prominent real estate developers and agencies in accordance with the “UP Electronics Manufacturing Policy (UPEMP)” for the design, development, and operation of the city, officials here on Saturday said.
It is noteworthy that under this project, the way will be paved for the construction of Grade-A certified commercial space, state-of-the-art data centres, Grade-A flexible workplaces and tech labs for IT companies. At the same time, the way will be paved for the construction of many world-class amenities including luxury and affordable housing residential complexes, recreation areas, green areas along with commercial spaces.
Under the project, the IT and Electronics Department has identified potential land parcels for the development of AI City at prime locations in Lucknow. In this context, a 40-acre land parcel owned by the Department of IT and Electronics has been earmarked as a potential development site for the AI City. Situated in the Nadarganj Industrial Area, the land holds a prime location, approximately 3 kilometers away from Lucknow International Airport.
The land is currently completely fenced and is accessible via a two-lane road. With its proximity to the Lucknow-Kanpur highway, excellent connectivity, prime location base, and modern facilities, this area presents a favourable opportunity for the establishment of AI city. In such a case, UPLC has issued an EOI inviting applications from leading real estate developers. They will have to work on a detailed action plan to design, construct and operate all the infrastructure and facilities related to AI city in this area.
The developer companies will be given 40 acres of land in the prime location of Nadarganj industrial area for the project. Under this, assistance will be provided in land acquisition, zoning rules and other relevant approvals. At the same time, financial assistance will also be provided to the developer through attractive financial incentives, including one-time capex support of 25% to Rs 20 crore for IT Park and capex support of up to Rs 100 crore for IT City.
Simultaneously, according to IT and ITES Policy 2022, 100% stamp duty exemption, non-financial assistance will also be provided for lease rental, cloud service cost, electricity charges and bandwidth expenses.
The developers will develop prestigious state-of-the-art infrastructure in AI City by building Grade-A LEED certified offices based on ‘plug and play’ infrastructure. There will also be the development of a tower with grade-A office space for incubators, startups and corporates, a dedicated area for AI testing and prototyping facilities that will provide space for research centres and top technology educational institutions. The developers who will be given preference for this work will have an annual turnover of more than Rs 1000 crore.
Due to these factors, Lucknow has emerged as the most suitable area for an AI City.
Noida is already famous as an IT hub in Uttar Pradesh, but the development of Lucknow as an IT hub and AI city will pave the way for the development of tier-2 cities across the country and the state.
Lucknow has the presence of over 800 thriving tech-related businesses and over 200 technology startups, including BPM. The city also has centers of excellence in areas such as AI and Med Tech (with extensive AI integration).