India is set to become the digital gold mine of Indian tech startups by the end of the year, as more of them begin their quest to build a business that makes them a globally competitive player, said Pratibha Varma, co-founder of the Indian Tech Network (ITS), a non-profit organisation that focuses on promoting and building India’s innovation ecosystem.
According to a report by The Indian Express, in the coming years India will be a hub for global startups, and there are currently some 20 Indian tech start-ups that are globally valued at more than $10 billion, of which more than 70 are active in the tech sector.
India’s tech sector, however, has a long way to go before it is fully integrated and competitive, according to Varma.
She believes that the country will have to do more to attract top talent from the US and Europe and to make India a world leader in the area of technology.
India is set for a golden age of technology, as India is now a global hub for tech start ups, she said.
India’s startup ecosystem has grown from just one million users in 2014 to over 15 million users today, with more than 500 million Indian users accessing the internet every day.
The Indian Tech network has been active in raising awareness about the importance of the country’s tech ecosystem, and it aims to ensure that the ecosystem stays vibrant, Varma said.
She said that one of the main things the Indian government and IT industry needs to focus on is making sure that the infrastructure is built and ready to support the tech industry.
Varma added that the government should make it easier for entrepreneurs to access financial incentives for starting a business.
This will enable entrepreneurs to grow the business without having to invest capital.
The government should also give priority to those who are the most likely to take on debt and start up a business, she added.
The IT industry is an attractive market for Indian entrepreneurs, with its low entry barrier, high return on investment and ease of access to financing, said Varma in an interview with ET.
She pointed out that there are a number of Indian companies that are active globally and have achieved phenomenal returns on capital.
India is currently home to over 40% of the global IT market, which accounts for around 70% of global revenues, according the World Bank.
India also has some of the highest GDP per capita in the world, with an estimated $7,700 per capita.
Varma said that India’s high per capita GDP and low per capita growth in terms of population are factors that will make India’s technology ecosystem more competitive than the US, where the tech ecosystem is growing by leaps and bounds.