Silicon Valley is not a new term for IT Professionals, but the place was recently in news due to the visit of Indian Prime Minister Narendra Modi. Let us first understand the place located southern portion of the San Francisco Bay Area. Silicon Valley is a leading hub and startup ecosystem for high-tech innovation and development, accounting for one-third of all of the venture capital investment in the United States. It was in Silicon Valley that the silicon-based integrated circuit, the microprocessor, and the microcomputer, among other key technologies, were developed
There are thousands of Technology industry related companies located at Silicon valley. To name a few – Xilinx, Oracle Corporation, Microsoft, Google, Tata Consultancy Services, Facebook, Cisco and the list continues.
In our country, today we can see lots of startups mushrooming. Tata Group Chairman Emeritus Mr Ratan Tata has invested in many of these start ups and encouraged the entrepreneurs and IT professionals to invest and start their own companies. We need to learn that we should harness the talents within our country and try to develop our own Silicon valley, rather than promoting Brain drain and migrating from our roots to a foreign country in search of a comfortable living. Today, most of the IT Companies in India like TCS, Infosys, Wipro etc are working on outsourced projects. We should have the capacity of developing our own companies just like Bill Gates andSteve Jobs.
We are proceeding in this way and various new e-commerce players such as Flipkart and Snapdeal have attracted investments valuing them at $15.5 billion and $4.8 billion in 2015, respectively. Zomato, a restaurant search-and-discovery service founded in 2008, has received over $200 million in funding and now has a presence in over 20 countries.
Flipkart and Snapdeal are still small companies by the standards of world leader Amazon and China’s Alibaba, of course. And for now, they’re focused on expanding their Indian footprint rather than expanding globally. But the fact that they enjoy a huge domestic market (today’s India is much richer than India in 1985).
Before proceeding to this dream journey, the greatest hurdles to this in our country are – Internet connectivity, Education and skilled people, awareness, motivation to take risk.
Today, only about 20% of Indians have access to the Internet today. The country ranked 131st in broadband connectivity in 2014, which translates to only 1.2 people with broadband access out of every 100. What’s more, India ranked 155th in mobile broadband penetration, suggesting that 5.5 people out of every 100have access, according to a UNESCO report.
In India, only a tiny sliver – 1% – of the population shops online, according to the Wall Street Journal. A big part of the challenge is that 80% of the population lacks a means to pay electronically for goods, according to a Morgan Stanley research report. Indeed, as the same report also points out, the Indian Internet market could rise to $137 billion by 2020, and the nation could follow the path of China, where e-commerce has increased significantly over the past decade as Internet access has improved.
US Companies prefer India over China for Offshore Development Centre today. India’s potential as a highly lucrative emerging market for foreign businesses, especially with China’s economic future looking uncertain, is becoming increasingly important.