By Richa Chakravarty
Wednesday, October 30, 2013: Manufacturers’ Association for Information Technology (MAIT) and KPMG together released on October 30, a report titled ‘Indian market place—IT the unrealised potential’, which was unveiled by Dr Sam Pitroda, adviser to Prime Minister. The report not only focuses on the potential of IT market and its growth in the coming years but also highlights various challenges which needs to be overcome to increase penetration of IT in various levels, and suggests recommendations to tackle these challenges.
The report estimates that in FY 2014-18, there will be an increase in the sale of desktops and notebooks from 6 to 18 per cent CAGR which will contribute additional GDP of Rs 6,63,000 million and employment for 1,11,600 people. As per the findings of the report, the current PC penetration in rural India is limited to approximately 9 million households whereas, approx 14 million households who fall under the affordability bracket of Rs 0.5 million annual family income do not have PCs. Going by the report, low rural literacy, poor infrastructure and lack of local language product customisation have been the major impediments to rural PC penetration.
Addressing the audience, Dr Sam Pitroda urged to focus on the real issue. “The need for IT products is going to be large and the challenge will be to address this need. It is necessary to focus on processes and re-design the nation. The next generation is of cloud computing, open source, low cost devices, fibre optics , hence build an IT nation. Government will have to play a major role. Government purchasing policies have always been in favour of imports.” He further emphasised on the need to change policies, creating incentives, good infrastructure and logistics and human resources all of which can change the face of IT industry with respect to local manufacturing in the country.
Keynote speaker, J Satyanarayana, secretary, DeitY, Ministry of Communication & IT, Government of India, further emphasised on the need for creating economic value for the product. “IT has huge potential in India but this potential will stay untapped as long as we do not see the economic value of the product. Creating economic value, making it affordable and connecting it to the masses is the right way to success for IT penetration in India,” says J Satyanarayana.
Speaking at the launch, Amar Babu, president, MAIT said, “We need the right approach to enhance IT penetration and significantly contribute to the economic growth. This report has identified some of the bottlenecks which are hampering the PC penetration in the country and has proposed the most viable recommendations to overcome them.”
Further elaborating the report, Anwar Shirpurwala, executive director, MAIT, said, “Increasing the penetration of PCs will not only contribute to the economic drivers but it will carve a path towards a developed and computer educated society. A better IT infrastructure will lead to life augmentation that will help consumers as well as the government. On the whole, this will enhance India’s face in the race with the other developed nation of the world.
