According to an official release, the satellite campus will offer programmes in animation, VFX, game development and film.
The institute will provide skills to students on par with international industry standards, it said.
Telangana IT Minister KT Rama Rao said the gaming industry is a key growth engine for next level of technology exports and employment generation.
"As a part of shared vision, the Government of Telangana and VFS have joined efforts through this MoU to synergise on skilling the youths from the state on cutting edge technologies in animation, VFX and the gaming sector," he said.
"That is why we have decided to launch programmes in Hyderabad so that we can provide the same quality of education and training to prepare students for a career in global film and entertainment industry.
"Whether the students are in Vancouver, Shanghai or Hyderabad, their aspirations are the same and we, at VFS, want to help students achieve their dreams while enhancing the local industries," Gandhi said.
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