lunes, 9 de mayo de 2016

Successful Tech Hubs: Bangalore




Successful Tech Hubs:
Bangalore

Bangalore[1] is the 3rd most populated city in India with a population of 8.5 million inhabitants. It has been come to be known as the “Silicon Valley of India” since it the nation’s leading information technology (IT) exporter. It is the most ethnically diverse cities in the country, with over 62% of the city’s population comprising migrants from other parts of India. Consider that India was colonized by the British in the 20th century, but maintains a caste system based on religious beliefs that creates difference in social classes and segregation. Bangalore has undergone dramatic social and cultural change with liberalization and expansion of the information technology and business process outsourcing in India. IT companies employ over 35% of India’s pool of 1 million IT professionals. Consider this is a very small % of India’s population (over 1.2 billion people). 70% of this population lives in rural areas, with 60% of the population over 15 unable to read or write. With over 750 million mobile phones and 41% mobile only with internet access, connecting India is a challenge.
Situation however has though improved for the locals. Whereas before you needed to come from a positioned family and have a college degree to get a job at a call center, today a secondary school degree and knowledge of English is all it takes. Salaries are very low, but enough to live independently in a very low cost country. India, long seen as an outsourcing destination for companies in Europe and the US, is today growing at a pace like China 5 years ago. Due to it’s low cost and highly skilled work force structure, the US and Europe retain the Sales and Marketing and uses India to perform the back-end work. It is mainly an Operations base, which differentiates it from other Hubs like Spain which are more expensive, but also add more value to the final product and services. Engineers must be available 24 x 7 and people work under a lot of stress.  
But now, the country’s IT industry aims to become a global Innovation Hub. It is a Start-Up city, with the existence of a lot of small organized communities which concentrate the city’s talent. It offers easy access to investors and people that can supplement your Start-Up. Most big companies in the world (such as Amazon, Microsoft, IBM, etc.) are established there and actively collaborates in the establishment of a global entrepreneurship program, which helps start-ups to acquire skills for global escalation. Some examples of home-grown IT businesses are Wipro, Infosys and Tata. It is also the base of Biocon, India’s largest biotechnology company.
The International Tech Park[2] Bangalore is the icon of India’s IT success story. It offers a world class business infrastructure home to many Fortune 500 corporations. It’s efficient services and infrastructure include security, fire protection systems, seamless telecommunication networks, optical fibre connectivity and a dedicated power plant. It’s community it composed of 32000 people who make the Park their business address.
The Start-Up scene in Bangalore is one of the fastest growing scene in the world. The young adults are early adopters: young, mobile and hungry for new products. Smartphones have not yet thrived, but are projected to be in the hands of 500 million people in the NeXT 5 years, which give us a fantastic growth potential. Kormangala is a small neighborhood of Bangalore with several startup offices, co-working spaces and founders working out of coffee shops. Startups find it easy to get user feedback, hire talent from other tech companies and find mentors in other successful founders nearby. Some examples of success are the online shopping business Flipkart. Venture Capitalist Funds are now huge checks to finance Start-Ups in the region, confident in it’s growth potential. Some challenges include bureaucracy unfriendly to startups, and a conservative culture that is averse for risk-taking and often fixated on mistakes and failure.
                  







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