Artificial intelligence should remain a tool to enhance human creativity and not replace artists, Karnataka Chief Minister Siddaramaiah said on Friday, stressing on ethical use, intellectual property protection and fair compensation in the AVGC-XR sector.

He also called on industry leaders to invest in original content, educational institutions to modernize curriculum, young creatives to dream fearlessly and global partners to collaborate with Karnataka.
Speaking after inaugurating the 7th edition of the Bengaluru GAFX Games, Animation and VFX Conference, themed ‘Evolution Reloaded’, he said here that Karnataka’s commitment to the AVGC-XR sector was neither talk nor reaction, stressing, “We have been pioneers.”
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In 2017, Karnataka became the first state in India to implement a dedicated AVGC (Animation, VFX, Games and Comics) policy, Siddaramaiah noted.
“This decision was driven by insight, realizing that creating content would become just as powerful as creating code,” he said.
“Today, GAFX represents the next great frontier. The gaming, animation and visual effects sector is no longer a small creative industry. In the age of the digital revolution, immersive media, streaming platforms, e-sports and extended reality, GAFX is shaping how humanity experiences stories, culture, education and even governance,” he said.
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The Prime Minister said that the government is implementing the third AVGC-XR policy for the period 2024-2029, reflecting the ongoing commitment to the sector.
“Our AVGC-XR policy has provided incentives, infrastructure support, skill building initiatives, incubation systems and institutional collaboration to strengthen this ecosystem,” he said.
Regarding artificial intelligence, Siddaramaiah said it is transforming content pipelines and enhancing productivity, but warned that it should remain a tool and not a substitute for human imagination.
“Technology should amplify human potential, not erase it,” he said. “The soul of storytelling is human emotion, something no algorithm can fully replicate.”
Calling for the ethical use of AI, he said: “Respect for intellectual property, data privacy, fair compensation, and upgrading skills must be key.”
Emphasizing on expansion beyond Bengaluru, Siddaramaiah said digital creative clusters are being promoted in Mysuru, Mangaluru, Hubballi-Dharwad, Kalaburagi and other emerging cities.
“We want the next great game designer or VFX innovator to emerge not just from the capital, but from every district of Karnataka,” he said.
The Prime Minister said Karnataka should be known not only as the Silicon Valley of India but also as the ‘creative capital’ of the digital world.
Siddaramaiah said the state is reimagining tourism through augmented reality and integrating AVGC-XR immersive technologies into medical education and training through simulation and digital preservation of cultural heritage.
He said that the sector represents an economic and cultural opportunity at the same time, as it works to empower youth and enable rural talent to create global content.
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He said that with the potential to create 20,000 jobs over the next five years, the sector will generate job opportunities in the fields of design, programming, storytelling, music, motion capture, artificial intelligence modeling and production management.
Calling for systematic skill development, the Prime Minister said that educational institutions must integrate AVGC-XR skills into general education.
Listing five strategic priorities, Siddaramaiah said the state will focus on building a future-ready talent pipeline, enhancing infrastructure, supporting startups and indigenous IP, expanding opportunities beyond Bengaluru, and building global partnerships.
While encouraging innovation in animation and games, he said, “We must also take responsibility, promoting ethical game design that avoids the glorification of violence, protects children’s mental health, and encourages creativity, critical thinking and positive social values.”
The Prime Minister stressed that the government is committed to policies that protect human creators and users while empowering them with new tools.
“We will ensure that progress is inclusive,” he said. “The digital revolution should not widen inequality; it should democratize opportunity.”

