A group of intellectuals from Rayalaseema led by Mysoora Reddy are in talks with politicians of all parties to form a Seema Sadhana Samiti, political party. They reportedly want a separate state with the current four districts of Seema along with Nalgonda, Nellore and Prakasam. Keeping aside, if the movement can be a success or failure, we will see if the option is at least viable.
The major ideological error can be demanding Prakasam which is a part of Coastal Andhra and Nalgonda, now in Telangana. The movement can not be sustained in Nalgonda at least for obvious reasons. Telangana government will crush the movement with no mercy as they have no political obligations in Rayalaseema. The 7 districts state is not financially sustainable as there are no cash cows except for Tirupati and Sri City in Nellore.
Both these two entities can not bear the burden of the remaining backward districts. And then the major problem is the water. Rayalaseema currently has only water sources through Srisailam project and that too water will be released only when the project is at 850 feet. If at all Seema divides, they will not get water allocations and both AP and Telangana will never let the water level go to 850 feet. All these factors combine make Rayalaseema demand a very difficult one.