Telangana IT and Industries Minister D Sridhar Babu has alleged that the Centre is giving the state “step-motherly treatment” in extending support for semiconductor projects, urging equitable consideration of Telangana’s proposals under the India Semiconductor Mission.Speaking to Moneycontrol Managing Editor Nalin Mehta at the Rising Bharat Summit 2026, Babu said all states require Central assistance to compete for capital-intensive semiconductor investments, but Telangana has not received equal treatment.
“All states require assistance from the Central government. What we face sometimes is step-motherly treatment from the Centre,” Babu said.
He said Hyderabad is already home to several leading semiconductor design companies and argued that chip manufacturing proposals from the city should also be considered under the India Semiconductor Mission.“Hyderabad has all the top design companies for chips. If any chip-manufacturing company comes to invest in Hyderabad, it has to be considered under the India Semiconductor Mission by the Centre. When it is not considered, it gives heartburn to us,” he said.Babu urged the Centre to encourage semiconductor investments across states and provide support in an equitable manner, saying this would enable states to compete on a level playing field.“The Centre should give states the capacity to compete with each other. It should do it in an equitable manner,” he said, adding that stronger competition among states is essential to achieving the vision of a “Rising Bharat”.Babu also said Telangana is working to attract investments beyond Hyderabad by developing tier-2 and tier-3 cities, where skilled talent is available. He added that the state wants global capability centres (GCCs) operating in Telangana to evolve into value centres with higher-value work undertaken from India.
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