it and it in india

7/28/2019 IT and IT in India

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At present there are a number of challenges that are facing

the information technology industry of India. One of the

major challenges for the Indian information technology

industry was to keep maintaining its excellent performancestandards.

The experts are however of the opinion that there are certain

things that need to be done in order to make sure that India

can maintain its status as one of the leading information

technology destinations of the world. The first step that

needs to be taken is to create an environment for innovation

that could be carried for a long time.

The innovation needs to be done in three areas that are

connected to the information technology industry of India

such as business models, ecosystems and knowledge. The

information technology sector of India also has to spread the

range of its activities and also look at the opportunities in

other countries.

The improvement however, also needs to be qualitative

rather than just being quantitative. The skill level of the

information technology professionals is one area that needs

improvement and presents a considerable amount of

challenge before the Indian information technology industry.

The Indian information technology industry also needs to

co-ordinate with the academic circles as well as other

industries in India for better performance and improved

productivity. The experts are of the opinion that the business

process outsourcing service providers in India need to

change their operations to a way that is more oriented to the


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knowledge process outsourcing. One of the most important

crises facing the Indian information technology industry

concerns the human resources aspect. The problems with

outsourcing in countries like the United States of Americaare posing problems for the Indian information technology

industry as well.

Information technology

From Wikipedia, the free encyclopediaJump to:navigation,search

Information science

General aspects

Information accessInformation architecture Information management Information retrieval

Information seekingInformation society Knowledge organizationOntology

Philosophy of information

Science, technology and society

Related fields and sub-fields

BibliometricsCategorization CensorshipClassification

Computer data storageCultural studies
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Data modelingInformatics Information technology

Intellectual freedom Intellectual propertyMemory Library and information science

PreservationPrivacy

Portal

v t e

Information technology (IT) can be defined in various ways, but is broadly considered toencompass the use of computers and telecommunications equipment to store, retrieve, transmitand manipulate data.[1]The term is commonly used as a synonym for computers and computernetworks, but it also encompasses other information distribution technologies such as televisionand telephones.[2]

Humans have been storing, retrieving, manipulating and communicating information since theSumeriansinMesopotamiadevelopedwritingin about 3000 BC,[3]but the term "informationtechnology" in its modern sense first appeared in a 1958 article published in theHarvardBusiness Review; authors Leavitt and Whisler commented that "the new technology does not yethave a single established name. We shall call it information technology (IT)."[4]Based on thestorage and processing technology employed, it is possible to distinguish four distinct phases ofIT development: pre-mechanical (3000 BC1450 AD), mechanical (14501840),electromechanical (18401940) and electronic.[3]This article focuses on the latter of thoseperiods, which began in about 1940.

Contents

1 Definitions 2 History of computers 3 Data storage 4 Databases 5 Data retrieval 6 Data transmission 7 Data manipulation 8 Commercial perspective 9 Social and ethical perspectives
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edia.org/wiki/Harvard_Business_Reviewhttp://en.wikipedia.org/wiki/Harvard_Business_Reviewhttp://en.wikipedia.org/wiki/Information_technology#cite_note-Butler-3http://en.wikipedia.org/wiki/Cuneiformhttp://en.wikipedia.org/wiki/Mesopotamiahttp://en.wikipedia.org/wiki/Sumerhttp://en.wikipedia.org/wiki/Information_technology#cite_note-DMC-2http://en.wikipedia.org/wiki/Information_technology#cite_note-DOP-1http://en.wikipedia.org/w/index.php?title=Template:Information_science&action=edithttp://en.wikipedia.org/wiki/Template_talk:Information_sciencehttp://en.wikipedia.org/wiki/Template:Information_sciencehttp://en.wikipedia.org/wiki/Portal:Library_and_information_sciencehttp://en.wikipedia.org/wiki/Privacyhttp://en.wikipedia.org/wiki/Preservation_%28library_and_archival_science%29http://en.wikipedia.org/wiki/Library_and_information_sciencehttp://en.wikipedia.org/wiki/Memoryhttp://en.wikipedia.org/wiki/Intellectual_propertyhttp://en.wikipedia.org/wiki/Intellectual_freedomhttp://en.wikipedia.org/wiki/Informatics_%28academic_field%29http://en.wikipedia.org/wiki/Data_modeling


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10 See also 11 References 12 Further reading 13 External links

Definitions

In a business context, theInformation Technology Association of Americahas definedinformation technology (IT) as "the study, design, development, application, implementation,support or management of computer-based information systems".[5]In an academic context, theAssociation for Computing Machinerydefines it as "undergraduate degree programs that preparestudents to meet the computer technology needs of business, government, healthcare, schools,and other kinds of organizations .... IT specialists assume responsibility for selecting hardwareand software products appropriate for an organization, integrating those products withorganizational needs and infrastructure, and installing, customizing, and maintaining thoseapplications for the organizations computer users. Examples of these responsibilities include theinstallation of networks; network administration and security; the design of web pages; thedevelopment of multimedia resources; the installation of communication components; theoversight of email systems; and the planning and management of the technology lifecycle bywhich an organizations technology is maintained, upgraded, and replaced."

[6]

History of computers

Main article:History of computing hardware

Devices have been used to aid computation for thousands of years, probably initially in the formof atally stick.[7]TheAntikythera mechanism, dating from about the beginning of the firstcentury BC, is generally considered to be the earliest known mechanicalanalog computer; it isalso the earliest known geared mechanism.[8]Comparable geared devices did not emerge inEurope until the 16th century,[9]and it was not until 1645 that the first mechanical calculatorcapable of performing the four basic arithmetical operations was developed.[10]

Electronic computers, using either relays or valves, began to appear in the early 1940s. TheelectromechanicalZuse Z3, completed in 1941, was the world's firstprogrammablecomputer,and by modern standards one of the first machines that could be considered a completecomputing machine.Colossus, developed during the Second World War to decryptGerman

messages was the firstelectronicdigitalcomputer, but althoughprogrammableit was notgeneral-purpose, being designed for a single task. Neither did it store its programs in memory;programming was carried out using plugs and switches to alter the internal wiring.[11]The firstrecognisably modern electronic digitalstored-program computerwas theManchester Small-Scale Experimental Machine(SSEM), which ran its first program on 21 June 1948.[12]

Data storage
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ter_programminghttp://en.wikipedia.org/wiki/Digitalhttp://en.wikipedia.org/wiki/Electronicshttp://en.wikipedia.org/wiki/Nazi_Germanyhttp://en.wikipedia.org/wiki/Colossus_computerhttp://en.wikipedia.org/wiki/Programminghttp://en.wikipedia.org/wiki/Z3_%28computer%29http://en.wikipedia.org/wiki/Information_technology#cite_note-FOOTNOTEChaudhuri20043-10http://en.wikipedia.org/wiki/Information_technology#cite_note-FOOTNOTEChildress200094-9http://en.wikipedia.org/wiki/Information_technology#cite_note-FOOTNOTEWright2012279-8http://en.wikipedia.org/wiki/Analog_computerhttp://en.wikipedia.org/wiki/Antikythera_mechanismhttp://en.wikipedia.org/wiki/Information_technology#cite_note-Schmandt-Besserat-7http://en.wikipedia.org/wiki/Tally_stickhttp://en.wikipedia.org/wiki/History_of_computing_hardwarehttp://en.wikipedia.org/wiki/Information_technology#cite_note-curricula-6http://en.wikipedia.org/wiki/Association_for_Computing_Machineryhttp://en.wikipedia.org/wiki/Information_technology#cite_note-FOOTNOTEProctor2011preface-5http://en.wikipedia.org/wiki/Information_Technology_Association_of_Americahttp://en.wikipedia.org/wiki/Information_technology#External_linkshttp://en.wikipedia.org/wiki/Information_technology#Further_readinghttp://en.wikipedia.org/wiki/Information_technology#Referenceshttp://en.wikipedia.org/wiki/Information_technology#See_also


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The relational database model introduced a programming language independentStructuredQuery Language(SQL), based onrelational algebra.[23]

The terms "data" and "information" are not synonymous. Anything stored is data, but it onlybecomes information when it is organised and presented meaningfully.[26]Most of the world's

digital data is unstructured, and stored in a variety of different physical formats

[27][a]

even withina single organisation.Data warehousesbegan to be developed in the 1980s to integrate thesedisparate stores. They typically contain data extracted from various sources, including externalsources such as the Internet, organised in such a way as to facilitatedecision support systems(DSS).[28]

Data transmission

Data transmission has three aspects: transmission, propagation, and reception.[29]

XML has been increasingly employed as a means of data interchange since the early 2000s,[30]

particularly for machine-oriented interactions such as those involved in web-orientedprotocolssuch asSOAP,[25]describing "data-in-transit rather than ... data-at-rest".[30]One of the challengesof such usage is converting data from relational databases into XMLDocument Object Model(DOM) structures.[31]

Data manipulation

Hilbert and Lopez[19]identify the exponential pace of technological change (a kind ofMoore'slaw): machines' application-specific capacity to compute information per capita roughly doubledevery 14 months between 1986 and 2007; the per capita capacity of the world's general-purpose

computers doubled every 18 months during the same two decades; the global telecommunicationcapacity per capita doubled every 34 months; the world's storage capacity per capita requiredroughly 40 months to double (every 3 years); and per capita broadcast information has doubledevery 12.3 years.[19]

Massive amounts of data are stored worldwide every day, but unless it can be analysed andpresented effectively it essentially resides in what have been called data tombs: "data archivesthat are seldom visited".[32]To address that issue, the field ofdata mining"the process ofdiscovering interesting patterns and knowledge from large amounts of data"[33]emerged in thelate 1980s.[34]

Commercial perspective

Worldwide IT spending forecast (billions ofU.S. dollars)

Category2011

spending

2012

spending

Computing 404 423
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hardware

Enterprisesoftware

269 290

IT services 845 864

Telecomequipment 340 377

Telecom services 1,663 1,686

Total 3,523 3,640

Information technology in India

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TheInformation technologyindustry inIndiahas gained abrand identityas aknowledgeeconomydue to its IT and ITES sector. The ITITES industry has two major components:ITServicesandbusiness process outsourcing(BPO). The growth in theservice sectorin India hasbeen led by the ITITES sector, contributing substantially to increase inGDP, employment, andexports. The sector has increased its contribution to India's GDP from 1.2% in FY1998 to 7.5%

in FY2012.[1]According toNASSCOM, the ITBPO sector in India aggregated revenues ofUS$100 billion in FY2012, where export and domestic revenue stood at US$69.1 billion andUS$31.7 billion respectively, growing by over 9%.[1]The major cities that account for aboutnearly 90% of this sectors exports areBangalore,Chennai,Delhi,Mumbai,Hyderabad,Pune,Kolkata. Export dominate the ITITES industry, and constitute about 77% of the total industryrevenue. Though the ITITES sector is export driven, the domestic market is also significantwith a robust revenue growth.[1]The industrys share of total Indian exports (merchandise plusservices) increased from less than 4% in FY1998 to about 25% in FY2012. According to
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Gartner, the "Top Five Indian IT Services Providers" areTata Consultancy Services,Infosys,Cognizant,WiproandHCL Technologies.[2]

This sector has also led to massive employment generation. The industry continues to be a netemployment generator - expected to add 230,000 jobs in FY2012, thus providing direct

employment to about 2.8 million, and indirectly employing 8.9 million people.

[1]

Generallydominant player in the globaloutsourcingsector. However, the sector continues to facechallenges of competitiveness in the globalized world, particularly from countries likeChinaandPhilippines.

India's growing stature in theInformation Ageenabled it to form close ties with both theUnitedStates of Americaand theEuropean Union. However, the recentglobal financial criseshasdeeply impacted the Indian IT companies as well as global companies. As a result hiring hasdropped sharply, and employees are looking at different sectors like the financial service,telecommunications, and manufacturing industries, which have been growing phenomenally overthe last few years.[3]India's IT Services industry was born inMumbaiin 1967 with the

establishment of Tata Group in partnership with Burroughs.

[4]

The first software export zoneSEEPZwas set up here way back in 1973, the old avatar of the modern day IT park. More than80 percent of the country's software exports happened out ofSEEPZ,Mumbaiin 80s.[5]

Contents

1 History 2 Post liberalization 3 Recent development

o 3.1 Big IT Services company 4 IT companies offices 5 Major IT Hubs 6 Criticisms 7 See also 8 References 9 Further reading

History

The Indian Government acquired the EVS EM computers from theSoviet Union, which were

used in large companies and research laboratories. In 1968Tata Consultancy Servicesestablished inSEEPZ,Mumbai[4]by theTata Groupwere the country's largest softwareproducers during the 1960s. As an outcome of the various policies ofJawaharlal Nehru(office:15 August 194727 May 1964) the economically beleaguered country was able to build a largescientific workforce, third in numbers only to that of the United States of America and the SovietUnion. On 18 August 1951 the minister of educationMaulana Abul Kalam Azad, inauguratedtheIndian Institute of TechnologyatKharagpurinWest Bengal. Possibly modeled after the
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ipedia.org/wiki/SEEPZhttp://en.wikipedia.org/wiki/SEEPZhttp://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/Tata_Grouphttp://en.wikipedia.org/wiki/Tata_Grouphttp://en.wikipedia.org/wiki/Jawaharlal_Nehruhttp://en.wikipedia.org/wiki/Jawaharlal_Nehruhttp://en.wikipedia.org/wiki/Jawaharlal_Nehruhttp://en.wikipedia.org/wiki/Maulana_Abul_Kalam_Azadhttp://en.wikipedia.org/wiki/Maulana_Abul_Kalam_Azadhttp://en.wikipedia.org/wiki/Maulana_Abul_Kalam_Azadhttp://en.wikipedia.org/wiki/Indian_Institute_of_Technologyhttp://en.wikipedia.org/wiki/Indian_Institute_of_Technologyhttp://en.wikipedia.org/wiki/Indian_Institute_of_Technologyhttp://en.wikipedia.org/wiki/Kharagpurhttp://en.wikipedia.org/wiki/Kharagpurhttp://en.wikipedia.org/wiki/Kharagpurhttp://en.wikipedia.org/wiki/West_Bengalhttp://en.wikipedia.org/wiki/West_Bengalhttp://en.wikipedia.org/wiki/West_Bengalhttp://en.wikipedia.org/wiki/West_Bengalhttp://en.wikipedia.org/wiki/Kharagpurhttp://en.wikipedia.org/wiki/Indian_Institute_of_Technologyhttp://en.wikipedia.org/wiki/Maulana_Abul_Kalam_Azadhttp://en.wikipedia.org/wiki/Jawaharlal_Nehruhttp://en.wikipedia.org/wiki/Tata_Grouphttp://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/SEEPZhttp://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/Soviet_Unionhttp://en.wikipedia.org/wiki/Information_technology_in_India#Further_readinghttp://en.wikipedia.org/wiki/Information_technology_in_India#Referenceshttp://en.wikipedia.org/wiki/Information_technology_in_India#See_alsohttp://en.wikipedia.org/wiki/Information_technology_in_India#Criticismshttp://en.wikipedia.org/wiki/Information_technology_in_India#Major_IT_Hubshttp://en.wikipedia.org/wiki/Information_technology_in_India#IT_companies_officeshttp://en.wikipedia.org/wiki/Information_technology_in_India#Big_IT_Services_companyhttp://en.wikipedia.org/wiki/Information_technology_in_India#Recent_developmenthttp://en.wikipedia.org/wiki/Information_technology_in_India#Post_liberalizationhttp://en.wikipedia.org/wiki/Information_technology_in_India#Historyhttp://en.wikipedia.org/wiki/Information_technology_in_India#cite_note-5http://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/SEEPZhttp://en.wikipedia.org/wiki/SEEPZhttp://en.wikipedia.org/wiki/Information_technology_in_India#cite_note-doccentre1-4http://en.wikipedia.org/wiki/Mumbaihttp://en.wikipedia.org/wiki/Information_technology_in_India#cite_note-et-3http://en.wikipedia.org/wiki/Financial_crisis_of_2007%E2%80%932010http://en.wikipedia.org/wiki/European_Unionhttp://en.wikipedia.org/wiki/United_States_of_Americahttp://en.wikipedia.org/wiki/United_States_of_Americahttp://en.wikipedia.org/wiki/Information_Agehttp://en.wikipedia.org/wiki/Philippineshttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/Outsourcinghttp://en.wikipedia.org/wiki/Information_technology_in_India#cite_note-nasscom-1http://en.wikipedia.org/wiki/Information_technology_in_India#cite_note-gartner-2http://en.wikipedia.org/wiki/HCL_Technologieshttp://en.wikipedia.org/wiki/Wiprohttp://en.wikipedia.org/wiki/Cognizanthttp://en.wikipedia.org/wiki/Infosyshttp://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/Gartner


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Massachusetts Institute of Technologythese institutions were conceived by a 22 membercommittee of scholars and entrepreneurs under the chairmanship of N. R. Sarkar.

Relaxed immigration laws in the United States of America (1965) attracted a number of skilledIndian professionals aiming for research. By 1960 as many as 10,000 Indians were estimated to

have settled in the US. By the 1980s a number of engineers from India were seeking employmentin other countries. In response, the Indian companies realigned wages to retain their experiencedstaff. In theEncyclopedia of India, Kamdar (2006) reports on the role of Indian immigrants(1980 - early 1990s) in promoting technology-driven growth:

The United States technological lead was driven in no small part by the brain power of brilliant

immigrants, many of whom came from India. The inestimable contributions of thousands of highly

trained Indian migrants in every area of American scientific and technological achievement culminated

with the information technology revolution most associated withCaliforniasSilicon Valleyin the 1980s

and 1990s.[6]

TheNational Informatics Centrewas established in March 1975. The inception of The ComputerMaintenance Company (CMC) followed in October 1976. During 1977-1980 the country'sInformation Technology companies Tata Infotech,Patni Computer SystemsandWiprohadbecome visible. The 'microchip revolution' of the 1980s had convinced bothIndira Gandhiandher successorRajiv Gandhithat electronics and telecommunications were vital to India's growthand development.MTNLunderwent technological improvements. During 1986-1987, the Indiangovernment embarked upon the creation of three wide-area computer networking schemes:INDONET (intended to serve the IBM mainframes in India), NICNET (the network for India'sNational Informatics Centre), and the academic research oriented Education and ResearchNetwork (ERNET).

Post liberalization

RegulatedVSATlinks became visible in 2012 . Desai (2006) describes the steps taken to relaxregulations on linking in 1991:

In 1991 the Department of Electronics broke this impasse, creating a corporation calledSoftware

Technology Parks of India(STPI) that, being owned by the government, could provide VSAT

communications without breaching its monopoly. STPI set up software technology parks in different

cities, each of which provided satellite links to be used by firms; the local link was a wireless radio link. In

1993 the government began to allow individual companies their own dedicated links, which allowed

work done in India to be transmitted abroad directly. Indian firms soon convinced their Americancustomers that a satellite link was as reliable as a team of programmers working in the clients office.

Videsh Sanchar Nigam Limited(VSNL) introduced Gateway Electronic Mail Service in 1991,the 64 kbit/s leased line service in 1992, and commercial Internet access on a visible scale in1992. Election results were displayed via National Informatics Centre's NICNET.
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The Indian economy underwent economic reforms in 1991, leading to a new era ofglobalizationand international economic integration. Economic growth of over 6% annually was seen during1993-2002. The economic reforms were driven in part by significant the internet usage in thecountry. The new administration underAtal Bihari Vajpayeewhich placed the development ofInformation Technology among its top five prioritiesformed the Indian National Task Force

on Information Technology and Software Development.

Wolcott & Goodman (2003) report on the role of the Indian National Task Force on InformationTechnology and Software Development:

Within 90 days of its establishment, the Task Force produced an extensive background report on the

state of technology in India and an IT Action Plan with 108 recommendations. The Task Force could act

quickly because it built upon the experience and frustrations of state governments, central government

agencies, universities, and the software industry. Much of what it proposed was also consistent with the

thinking and recommendations of international bodies like theWorld Trade Organization(WTO),

International Telecommunications Union(ITU), andWorld Bank. In addition, the Task Force

incorporated the experiences ofSingaporeand other nations, which implemented similar programs. It

was less a task of invention than of sparking action on a consensus that had already evolved within the

networking community and government.

The New Telecommunications Policy, 1999 (NTP 1999) helped further liberalize India'stelecommunications sector. TheInformation Technology Act2000 created legal procedures forelectronic transactions and e-commerce.

Throughout the 1990s, another wave of Indian professionals entered the United States. Thenumber ofIndian Americansreached 1.7 million by 2000. This immigration consisted largely of

highly educated technologically proficient workers. Within the United States, Indians fared wellin science, engineering, and management. Graduates from the Indian Institutes of Technology(IIT) became known for their technical skills. The success of Information Technology in Indianot only had economic repercussions but also had far-reaching political consequences. India'sreputation both as a source and a destination for skilled workforce helped it improve its relationswith a number of world economies. The relationship between economy and technologyvaluedin thewestern worldfacilitated the growth of an entrepreneurial class of immigrant Indians,which further helped aid in promoting technology-driven growth.

Recent development

The economic effect of the technologically inclined services sector in Indiaaccounting for 40%of the country's GDP and 30% of export earnings as of 2006, while employing only 25% of itsworkforceis summarized by Sharma (2006):

The share of IT (mainly software) in total exports increased from 1 percent in 1n0 to 18 percent in 2001.

IT-enabled services such as backoffice operations, remote maintenance, accounting, publiccall centers,

medical transcription, insurance claims, and other bulk processing are rapidly expanding. Indian
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companies such asHCL,TCS,Wipro, andInfosysmay yet become household names around the world.

Today, Bangalore is known as theSilicon Valley of Indiaand contributes 33% of Indian ITExports. India's second and third largest software companies are head-quartered in Bangalore, as

are many of the global SEI-CMM Level 5 Companies.

Mumbaitoo has its share of IT companies that are India's first and largest, likeTCSand wellestablished likeReliance[disambiguation needed],Patni,LnT Infotech,i-Flex,WNS, Shine, Naukri,Jobspert etc. are head-quartered inMumbai. And these IT and dot com companies are ruling theroost of Mumbai's relatively high octane industry ofInformation Technology.

Such is the growth in investment and outsourcing, it was revealed thatCap Geminiwill soonhave more staff in India than it does in its home market ofFrancewith 21,000 personnel+ inIndia.[7]

On 25 June 2002 India and theEuropean Unionagreed to bilateral cooperation in the field ofscience and technology. A joint EU-India group of scholars was formed on 23 November 2001 tofurther promote joint research and development. India holds observer status atCERNwhile ajoint India-EU Software Education and Development Center is due atBangalore.

Big IT Services company

Firm Revenues EmployeesFiscal

YearHeadquarters Source

TCS$10.17

billion243,545 2012 Mumbai [8]

Wipro$6.30

billion135,920 2012 Bangalore [9]

Infosys$7.99

billion151,151 2012 Bangalore [10]

HCL

Technologies$4.2 billion 89,319 2012 Noida [11]

IT companies offices

Various large and small IT company offices across India.
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InfosysMedia Centre inElectronic City, Bangalore.

Tidel Parkin Chennai.

MicrosoftIndiain Hyderabad.

IBM India inKolkata

Tidel ParkinCoimbatore

Infosyscampus in Mahindra City,Chennai
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Patni Knowledge Park

BPO Building,Bangalorecampus

Cognizant's Delivery Center inPune

Major IT Hubs

Criticisms

Despite its rapid growth, the IT industry in India has attracted its fair share of criticism. This isprimarily leveled against the industry's excessive political influence - as articulated through its

association,NASSCOM- which, it is claimed, far exceeds its economic contribution to thecountry.[12]This has allowed the industry to secure the support and resources of the Indian stateahead of other sectors of the national economy where the developmental returns would begreater.[13]
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The IT & ITes sector includes IT services, engineering design and R&D services, ITES (IT-enabled services) or BPO and hardware.

Today IT and ITeS sectors lead the economic growth in terms of employment, export promotion,revenue generation and standards of living. As per NASSCOM estimates, IT/ITeS sector(excluding hardware) revenues are estimated at USD 87.6 billion in FY 2011-12; and theindustry is expected to grow by 19 per cent during FY 2012-13.

The IT/ITeS sector has led to employment opportunities, both direct and indirect, of nearly 2.8million and around 8.9 million respectively. This growth is expected to increase to more than 14

million (direct and indirect) by 2015 and to around 30 million by 2030.

The market size of the industry is expected to rise to USD 225 billion by 2020 consideringIndia's competitive position, growing demand for exports, Government policy support, andincreasing global footprint.

IT/ITeS industry has led India's economic growth and this sector's contribution to the nationalGDP has risen from 1.2 per cent in 1997-98 to an estimated 7.5 per cent in 2011-12.

IT/ITES industries are highly localized and clustered in seven cities as of today. These are:Bangalore, Hyderabad, Chennai, Gurgaon/Noida/New Delhi, Kolkata, Mumbai and Pune.

Infrastructure limits and scarcity of land has recently led to expansion to newer places likeAhmedabad, Bhubaneshwar, Chandigarh, Coimbatore, Jaipur, Kochi, Madurai, Mangalore,Mysore and Trivandrum.

Introduction to the terms:

Information Technology (IT) is defined as the design, development, implementation andmanagement of computer-based information systems, particularly software applications andcomputer hardware. Today, it has grown to cover most aspects of computing and technology.The largest firms globally include IBM, HP, Dell and Microsoft.

The Information Technology-Enabled Services (ITES) industry provides services that aredelivered over telecom or data network to a range of external business areas. Examples of suchbusiness process outsourcing (BPO) include customer service, web-content development, backoffice management and network consultancy etc.

Factors leading to growth in the IT/ITes sector are:

Low operating costs and tax advantage.


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Favourable government policies. Technically qualified personnel easily available in the country. Rapid adoption of IT technologies in major sectors as Telecom, Manufacturing and BFSI. Strong growth in export demand from new verticals and non-traditional sectors as public

sector, media and utilities.

Use of new and emerging technologies such as cloud computing. SEZ as growth drivers; as more of SEZs are now being set up in Tier II cities and about

43 new tier II/III cities are emerging as IT delivery locations.

All these factors have given IT/ITES industry in India a strong competitive position with highmarket share.

Employment trends

As per the Economic Survey 2011-12, the IT/ITeS industries has added 7.96 lakh jobs in oneyear, in the period ending September 2011. According to NASSCOM, employee base in the rural

areas is expected to increase by over 10 times by 2013-14, compared to 5000 in 2009-10.

According to a customer poll conducted by Booz and Co, India is the most preferred destinationfor engineering offshoring, which are encouraging foreign companies to offshore completeproduct responsibility to Indian ITeS companies.

Hyderabad is fast becoming the IT/ITes hub of India with new players hankering to get afoothold here, and existing players continuing to hire aggressively. Large companies such asInfosys, TCS, Genpact, Deloitte, Facebook, Bank of America, Thomson Reuters, Amazon,Google, Cognizant, Franklin Templeton among others, are growing their presence in the state.According to Andhra Pradesh Government's estimates, the total IT/ITeS sector hiring for 2012-

13 could be at about 50,000 professionals.

Internet trends

More recently, online retailing, cloud computing and e-commerce are leading to rapid growth inthe IT industry. Online shopping is fast gaining popularity with the emergence of internetretailing and e-commerce.

According to the Internet and Mobile Association of India (IAMAI) the number of Internet usersin the country is more than 121 million, out of which 17 million are online shoppers. Increasinginternet penetration and affordability for personal computers has led to this rapid numbers, and

these are expected to triple by 2015.

According to IAMAI, online sales of branded apparel almost doubled in volume to 4.99 millionpieces during April 2012, as against 2.54 million in the same month a year ago. Also, E-ticketingcontinued to grow with irctc.com recording 5.56 million bookings in April, 2012, as compared to2.26 million bookings in April 2011.

Government Initiatives


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In the twelfth Five Year Plan (2012-17), the Department of Information Technology proposes tostrengthen and extend the existing core infrastructure projects to provide more horizontalconnectivity, build redundancy connectivity, undertake energy audits of State Data Centers(SDCs) etc. The core infrastructure including fibre optic based connectivity will be leveragedand additional 150,000 Common Service Centres (CSCs) will be setup to create the right

Governance and service delivery ecosystem at the Panchayats.

By Shailja Shah Purohit

About InfoCity

"Information technology park"

The Infocity: Information Technology (IT) park project isdeveloped based on the concept of "A City within a city" and a 24/7 work culture, whichprovides Build-up space, IT Plots, residential units, club-house & Lifestyle facilities, educationalfacilitates.

The Infocity is global ITeS Outsourcing hub in Gujarat, India provides world class infrastructureto BPO, KPO, Software development & other ITeS outsourcing companies.


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It is strategically Developed on a prime area of 150 acres in the Greenest Capital City in theWorld - Gandhinagar, Gujarat, India. between the National Capital- Delhi & the CommercialCapital - Mumbai, both reachable in one-hour flight time.

On a most desirable location in the fastest growing knowledge corridor of Ahmedabad-

Gandhinagar region (with 6 million+ population), Infocity is conveniently located on NationalHighway 8, connecting New Delhi and Mumbai, and is a 10-15 minutes drive from theAhmedabad International and Domestic airport via a six lane express way.

The project has also received the award for best conceptualized IT Park in India

Infocity is all geared up to meet with the demand for next phase of IT,BPO and Life sciencesgrowth by offering cost advantage both in real state infrastructure as well as large potentiallyuntapped human resource pool in the state of Gujarat.

Gujarat IT Policy 2006 - 2011

As per the study conducted by NASSCOM, Ahmedabad/Gandhinagar are well ahead of cititeslike Delhi, Pune and Bangalore in view of the lowest cost of real estate, lower cost of humanresources, uninterrupted power supply and investment friendly State IT policy initiatives.

While the detailed IT policy document may be reviewed by visiting the official website ofDepartment of Science & Technology, Government of Gujarat (www.dst.gujarat.gov.in), somemajor highlights of the same are given below:

Strategy

Promotion of urban based IT Infrastructure Enhancing supply of skilled manpower Promotion of Knowledge Process Outsourcing (KPO) based industries

Initiatives
http://www.dst.gujarat.gov.in/http://www.dst.gujarat.gov.in/http://www.dst.gujarat.gov.in/http://www.dst.gujarat.gov.in/


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Special package of incentives on case to case basis for mega IT projects having aninvestment of more than Rs. 500 million

Assistance for setting up high-tech parks 50% exemption on Stamp Duty in case of first sale Electricity Duty Exemption

Exemption from Power Cuts Waiver of NOC from GPCB Simplification of Labour Laws Option of higher FSI Exemption form Zoning Regulations Special Venture Fund for IT & ITES companies

The State shall provide highest level of security for the operation of IT/ITES units. Offencepertaining to violation of data security, confidentiality of documents and NDA's are viewedseriously.

IT/ITeS/BPO Companies

Accede Learning and Information P. Ltd Arth Infosoft Echelon BPO private Ltd. Effective Tele Services iServe Systems Pvt. Ltd. Smruti Compubits Perfect IT Solutions Apcons Infotech, Vavni Services Pvt. Ltd. Tata Communication Tata Consultancy Services Cybage C-Metric Solutions P. Ltd Futures First Stay In Front Nusun Genetics Research ltd Outsourcing Services P. Ltd BlazeNet Ltd. BSNL E Fact Infosence (Rented by) E-Voice Teleservices
http://www.etechinc.com/http://www.etechinc.com/http://www.etechinc.com/


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Gail (India) Ltd. GIPL You TELCOM Maxim India Navinya CADsoft Pvt. Ltd. Vyapar Capital Market STPI (Software Technology Parks of India) STPI - Incubator Geo global Private Ltd Varologic Pvt. Ltd

it and it in india

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