Telangana government begins exercise for developing a new IT City at Tellapur and Nallagandla villages located in the outskirts of Hyderabad. It plans to construct a mega IT City in 300 acres of land that was readily available in these two villages. This Mega City will not only hosts the IT companies but will also provide housing, shopping malls, entertainment facilities etc. for the employees work in the companies. So, it would be a whole new modern and unique city for Telangana state.

Telangana government has finalized ICICI bank, Nagarjuna Construction Company and Tismas as partners of this mega project. During initial stage, the project will be developed in 100 acres of undisputed land. Once, the government clears the land disputes, the project will be extended to balance 200 acres also. It is expected to complete with in next three years. IT, Software development and export companies will be accommodated in this new IT City at Tellapur. To be frank, IT Companies are contributing major part of Telangana state revenue, with which the state stood in second place in the in the richest states list. Hence, if this new project is completed then the state revenue may multiply further and proportionately state development.