- The TVK government in Tamil Nadu has announced plans to establish 'Arivagam', an AI and innovation city, in the Revised Budget 2026-27.
- The Chief Minister C. Joseph Vijay-led TVK government will establish a dedicated Artificial Intelligence (AI) and innovation city, named 'Arivagam', as part of a major push to position the State as a hub for AI and deep-tech industries.
- Finance Minister N. Marie Wilson announced that Arivagam would bring together advanced research, education, skill development, innovation, and industrial infrastructure in an integrated ecosystem.
- The proposed city will house an AI university, an international skill development centre, a semiconductor hardware testing laboratory, and multi-domain innovation incubators.
- The revised Budget proposes AI training from schools to ITIs and colleges, a new AI industry programme, a ₹2,000-crore laptop scheme, and industry-led skilling initiatives to prepare youth for technology-driven jobs.
- Artificial intelligence, digital skills, and Gen Z-focused initiatives dominated Tamil Nadu's revised budget 2026-27, with the state unveiling a series of measures aimed at building a future-ready workforce.
Tamil Nadu's government is set to establish 'Arivagam', India's first dedicated AI and innovation city, as part of the Revised Budget 2026-27. The initiative aims to position the state as a leader in technology and innovation, featuring an AI university, skill development centers, and innovation incubators.12345
Finance Minister N. Marie Wilson announced that the project will integrate advanced research, education, and industrial infrastructure, with a budget allocation of ₹5 crore for a feasibility study.
The budget also includes a new Tamil Nadu Industrial Policy to foster innovation and technology-led growth, focusing on emerging industrial sectors and sustainable development.
In addition to 'Arivagam', the government plans to enhance AI training across educational institutions, with an AI Industry Development Programme aimed at training five lakh students by 2031 in collaboration with leading academic institutions like IIT Madras.
The revised budget proposes a ₹2,000 crore laptop scheme to improve digital access for college students, recognizing the importance of technology in education. Furthermore, the government will expand the Tamil Nadu School Programme for Artificial Intelligence, Robotics, and Knowledge of Online Tools (TN SPARK) to an additional 2,600 schools.
Overall, the budget reflects a commitment to building a future-ready workforce and strengthening Tamil Nadu's technology ecosystem, with a total expenditure estimate of ₹4,05,802 crore for the fiscal year.6
“Finance Minister N. Marie Wilson presented the TVK-led government's maiden budget, saying Arivagam will house an AI university, semiconductor hardware testing laboratory and innovation incubators. The government has set aside ₹5 crore for a feasibility study, with total revised expenditure pegged at ₹4,05,802 crore.”
