How India can become a major tech hub amid US-China tensions
NEW DELHI: India faces a historic opportunity to transform into one of the world's major technology hubs, a report by Asia-based Hinrich Foundation said on Tuesday.
As the country aims to build up its local manufacturing capabilities, it is focusing on develo smartphones and other digital hardware. Besides, it is also looking to spawn a new crop of national unicorns.
This, the go nment believes, will transform India into a technology export hub, the report nes.
Here are some factors working in India's favour:
According to the report, friction between the United States (US) and China could give India the boost it needs to become a global tech hub.
A recent executive order signed by US President Joe Biden called for the creation of “China-free” supply chains in strategic industries, such as pharmaceutical and bio-pharma products, batteries, rare earths, and semiconductors.
Tech giants like Apple, Amazon and Samsung that have relied on China for years are shifting production to India and Southeast Asia
India's growing importance as a Quadrilateral Security Dialogue (Quad) member, grou with the US, Australia and Japan is also significant.
As an Indo-Pacific security partner to the US, it covers a wide range of issues from joint military strategy to vaccine diplomacy, the report said.
Least expensive internet access
Internet users in the country enjoy the world's least expensive internet services. In 2016, Reliance Jio started virtually free 4G internet access for all it users.
Not only has this doubled the mobile subscriber base but also widened internet access. By 2020, almost 50 per cent of the population had access to internet, up from 10 per cent in 2010.
Subsequently, the e-commerce market also witnessed a surge in users. The industry is now expected to increase to $200 billion by 2027, from $64 billion at present.
Investment in tech sector
The US, European Union (EU), T and Japan are India's largest foreign investors in the tech sector, the Hinrich report ned.
Services, computer hardware, software and telecommunications represent the top categories of investment.
Smartphones: The heart of tech manufacturing plan
Under the production-lined incentive scheme, the go nment aims to produce one billion smartphones in the country by 2025.
India recently surpassed Vietnam to become the world’s second largest manufacturer of smartphones. However, China by far remains the world’s largest.
The report suggests that Chinese low-cost hand phone brands would seem the logical choice as partners for Indian firms.
This would enable Indian firms to eventually breakaway as indigenous brands and compete directly with their former Chinese partners, at home and abroad.
New manufacturing incentives
In the past few years, the Centre has introduced many policy-driven changes to improve and strengthen the country's business landscape.
In the last 3 years, India's Ease of Doing Business ranking has improved from 100th position to the 63rd spot.
Talk Less, Work Smart & Transform.
Only if we had 20 crore less people who are eating up all developmnt money
India DOES NOT KNOW HOW TO BECOME A TECHNOLOGY HUB. TOO MUCH OF RED TAPE AND CORRUPTION. NO CLEAR POLICY AND TO MANY CONTROLS. REMOVE CORRUPTION BY THE POLITICIANS AND ALL WILL BE OK... GOD SAVE INDIA
印度不知道如何成为技术中心。太多的繁文缛节，太过腐 败，没有明确的政策。消腐 败，一切都会好起来的…愿神保佑印度
Indians go overseas and shine in R&D. But in india they are zero. Because india doea not have the environment which is created by the gt. usa welcomes talent from all over the world.
India has so far not able to take advanrage of the world looking for alternative to china in their supply chain. Its not even close. India does not have the eco sy em and work culture.
First learn to treat your own citizens as equals regardless of re gion. Why should foreign companies invest in an unstable country? There is a reason why in spite of all the previous talk about China, none of those big tech companies have moved to India. Add to all that is the cheating, bribing of ministers, tax laws changed on a whim, unions, poor infrastructure, logistics, no IP prection, roads, water ricity and a poorly skilled labor force which will take decades to train.
90% scoring students goto USA. The wealthy guys goto UK. The millionaires leave the country. While 50% scoring students get go nment jobs through reservations. While the average guys just join the rat race.
India makea not much of value in high tech. It is zero in semi conductor technology the heart of high tech. Even in software no earth shattering software app or package has come from india.
First learn to make world class toys. Even that needs high tech manufacturing.
Too much co ption and political interference in india for these foreign companies liking.
Nothing will happen. US and Japan shout ag inst China. But all major US mnc have their factories in China. Japan gave huge incentives to their companies to shift from China but almost all Japanese companies stayed in China. Just hear from Elon Musk, he will tell why China is the best country.
You write such article everytime when US China hav tensions.. last time u said India can be major development hub.. but due to our gt focus more on wng ion.. those chances went more to Bangladesh and Indonesia..