'Getting land in Bengaluru more difficult than making satellites': Startup founder's tweet sparks Andhra-Karnataka investment war

A social media post by a startup founder about difficulties in acquiring land for a satellite manufacturing facility near Bengaluru has triggered a fresh round of competition between Karnataka and Andhra Pradesh, with both states publicly courting the company for investment.

Kshitij Khandelwal, co-founder and CTO of Pixxel, took to X to express frustration over the challenges of securing land for a satellite factory on the outskirts of Bengaluru.

"Trying to get land for making a satellite factory in the outskirts of BLR has been way more difficult than actually making said satellites," Khandelwal wrote in a post that quickly drew attention from political leaders.



Responding to the entrepreneur's concerns, Karnataka's Minister for Commerce & Industries and Infrastructure, M.B. Patil, assured support from the state government.

"My office will be in touch @kshitijgokul," Patil said in a reply on X, signaling Karnataka's intent to retain the investment within the state.

However, the post also prompted a swift response from Andhra Pradesh, which has been aggressively pursuing new industrial investments under Chief Minister N. Chandrababu Naidu.

Andhra Pradesh Minister for Information Technology and Electronics Nara Lokesh invited the startup to consider setting up operations in the state.

"Kshitij, there's a new investor-friendly destination on the outskirts of Bengaluru. It's called Anantapur.


We're building Space Cities, aerospace parks and ready-to-go industrial ecosystems so founders can spend their time building satellites instead of hunting for land. @AP_EDB please get in touch," Lokesh posted.

The exchange highlights the intensifying competition between Andhra Pradesh and Karnataka to attract investments in high-technology and manufacturing sectors.

Traditionally, Karnataka, led by Bengaluru, has been India's technology hub, hosting major IT companies, startups, aerospace firms and research centres. The state has also rolled out policies aimed at attracting advanced manufacturing and innovation-driven industries.

At the same time, Andhra Pradesh has stepped up efforts to position itself as an alternative investment destination. The state government has been promoting faster approvals, availability of large land parcels, port connectivity and sector-specific incentives to attract companies across manufacturing, electronics, green energy, aerospace and semiconductor-linked industries.