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Rajeeva Ratna SHAH Secretary Government of India Ministry of Communications

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Title: Rajeeva Ratna SHAH Secretary Government of India Ministry of Communications


1
Rajeeva Ratna SHAHSecretaryGovernment of
IndiaMinistry of Communications Information
TechnologyDepartment of Information Technology
Secretary_at_mit.gov.in
IT / Software Industries in India and Asian
Development
OECD Conference 11th November 2002, Chennai
2

The Broadening sphere of Information Technology
INFORMATION
DATA
KNOWLEDGE
Computation
Communication
Cognition
3
(No Transcript)
4
Knowledge of the 21st Century
STHULA-JAGAT SOOKSMA-JAGAT Macrocosm
Microcosm
NANOTECH
ATOMS
Building Blocks Knowledge Tools of 21st Century
BIOTECH
COMPUTERS
GENES
BITS
5
  • Indian Software Business
  • One of the fastest growing sectors
  • CAGR exceeding 50 over the last 5 years
  • Turnover of US 10 billion exports of US 8.0
    billion during 2001-2002.
  • Exports Target US 50 billion by the year 2008
  • The six OECD countries (USA, Japan, UK, Germany,
    France and Italy)
  • Together have almost 71 of the worldwide
    (countries) software market.
  • Indians exports to these countries is almost 80
    of its total software exports.
  • The new markets being vigorously explored include
    Korea, South Africa, Malaysia, Latin and
    countries in Eastern Europe.

6
The Government is implementing a comprehensive
action plan to make India an IT superpower and to
achieve a target of 50 billion in software
exports by 2008.
  • Steps to accelerate Internet revolution-
  • IT education e-learning programmes in Schools
  • Software development in Indian languages
  • Development of web browsers in Indian languages
  • Development of inter lingua and multi user
    language interface
  • Development of OCRs, Lexicon Dictionaries
    Machine aided Translation capabilities in Indian
    languages
  • Promotion of web based e-governance solution
  • Promotion of e-commerce and e-biz

7
INITIATIVES TO PROMOTE IT SECTOR IN INDIA
  • Telecomm Reforms
  • FOCUS ON LIBERALISATION
  • Telecom Internet services opened up
  • National International Long Distance opened up
  • Voice over Internet allowed
  • Satellite international gateway allowed
  • Landing station for OFC allowed
  • Rationalization of Tariff structure one of the
    lowest tariff structures world-wide

8
INITIATIVES TO PROMOTE IT SECTOR IN INDIA
CONTD..
  • Cyber Framework
  • The Information Technology Act (IT Act) 2000
  • Legal framework to facilitate electronics
    commerce electronic transaction
  • Semiconductors (Integrated Circuits lay out
    design) Act
  • Convergence bill on the anvil

9
INITIATIVES TO PROMOTE IT SECTOR IN INDIA
CONTD..
  • Financial Reforms
  • Fiscal incentives
  • Foreign Direct Investment 100 allowed
  • 100 repatriation of benefits allowed
  • 100 income tax exemption on exports upto 2010
  • Zero duty on import of software
  • Zero duty on import of H/w for 100 export
    projects

10
INITIATIVES TO PROMOTE IT SECTOR IN INDIA
CONTD..
  • Building Global MNCs
  • Limits on use of ADR / GDR funds for acquisition
    of overseas companies upto 10 times export value
    through automatic route
  • ESOP taxation on actual accrual of capital gains

11
  • QUALITY IMPERATIVES
  • 46 of the worlds 80 SEI CMM level 5 companies
    are based in India
  • 286 ISO 9002 companies are in India
  • Over 6 companies are on NASDAQ
  • 38 Silicon Valley start-ups are by Indians
  • 80,000 MSCE in India (Equal to US Largest
    outside US)
  • RD centres by Microsoft, IBM, DELL, CISCO,
    Lucent, GE, SGS Thomson, Cadence etc., set up in
    India
  • Largest English speaking technical Manpower

12
Indian Higher Education System
  • Very vast System Total No. In
    Govt.
  • Universities 237 237
  • Deemed Universities 47 18
  • Engineering Colleges 838 215
  • IITs 7 7
  • IIMs 6 6
  • Medical College 171 95
  • Degree College 10,600 10,600
  • Dental College 78 27
  • Polytechnic 1,210 1,210
  • Schools 11,00,285 NA
  • Over 25 crore students
  • 75 Lakh teachers
  • Evenly spread all over the Country
  • Challenge for a network implementer
  • Lot of good work
  • Many world famous scholars

(Data compiled based on the input from MHRD)

13
  • Opportunities
  • Major demand for IT professionals in Europe
    (Germany, UK, Italy, France)
  • Major opportunity in ITES segment
  • Existing customers are enhancing their offshore
    component to India
  • In the domestic market computerization to rapidly
    increase
  • More MNCs are setting up RD facilities in India
  • IT training services is an area where India can
    leverage its strengths in qualified manpower and
    remote education delivery

14
  • Production of Major Electronics Goods (2000-01)

15
Export Statistics
Software (in US bn)
Growth Achieved in 2001-02 29 Growth Target for
2002-03 30
16
Export Statistics
Hardware (in US bn)
17
Future Growth
Export Targets (in US bn)
18
Future Growth
(in US bn)
19
  • SOFTWARE EXPORTS - MAJOR DESTINATIONS
  • Software Export (2000-01)

20
Advantage India-IT Enabled Services
  • CAPABILITIES OF WORKERS
  • Technical Qualifications
  • English language
  • Quality of work
  • Cost differentia

Singapore
US
Ireland
Philippines
UK
India
Australia
  • KEY AREAS
  • CRM Call Centres
  • Medical transcription
  • Back office operations
  • Insurance processing
  • Content development
  • Legal databases

China
  • LOCATION ATTRACTIVENESS
  • Infrastructure
  • Country risks
  • Time zone

As per Mckinseys study report India is closest
to US UK for development delivery of
quality software products services
21
  • FUTURE GROWTH
  • VENTURE FUNDS
  • OVER 70 VENTURE FUNDS OPERATING IN INDIA
  • SVF operated by SIDBI
  • Rabo bank
  • Merryl Lynch
  • Stanchart
  • High gate Ventures
  • Chrysalis Capital
  • Angel Investments by American Indians
  • Chandersekhar Sabir Bhatia Rajat
    Gupta
  • K.Rekhi Vinod Khosla
    S.Sidhu

Source Indian Venture Fund Association
22
Digital Divide The Flip-side of the Knowledge Era
Haves Have-Nots
Knows Know -Nots
Our objective is freedom from distance. We
are determined to link all the villages of
India not only with good roads but also with
good telecom and internet services ------ Prime
Minister of India 15th August, 2001
23
  • Bridging the Digital Divide DITs Initiative
  • Media Lab Asia
  • CIC Projects IT-Infrastructure in North East
  • E-Learning
  • Vidya Vahini
  • Gyan Vahini


24
Media Lab Asia

25
Media Lab Asia Programme - Major Project Areas
TOMORROWS TOOLS PDS for ANMs, water, power,
schools, crafts, GIS
OLS
DIGITAL VILLAGE Community Connection Village
Voice
WORLD COMPUTER Low cost computing devices Linux
CE, Village Interfaces, Village Info Systems
BITS FOR ALL Wi-Fi nets, DakNet
26
Media Lab Asia Deliverables
  • BITS FOR ALL
  • Broadband Bandwidth delivery in rural areas
  • WORLD COMPUTER
  • Low-cost / functionally versatile computing
    devices
  • INTERLINGUA Multilanguage User Interface based
    on internal interlingua (visual / conceptual)
    representation enabling
  • Multi-lingual programme
  • Web access
  • Data based search


27
Media Lab Asia Deliverables
  • TOOLS FOR TOMORROW
  • IT Tools for upgrading skills and productivity of
    artisans and promoting e-enterprise
  • DIGITAL VILLAGE
  • Convergence of all IT applications for achieving
  • 100 connectivity
  • Providing Rural Information Kiosks for enabling
  • e-governance
  • e-commerce
  • e-learning
  • e-enterprise
  • Digital applications/tools improving productivity
    and rural artisans
  • Digital applications / equipments for
    ameliorating living conditions of rural folks


28
Last Mile Technology Solutions 802.11(b)
500 Meters
(
(
NIC-Centre
New Administrative Building
Mantralaya
29
BITS for All
30
Low cost Computing Devices - Choice of
Technologies
  • High-bandwidth option IEEE 802.11B/802.11A
  • Typical transfer rates
  • 11 Mbps _at_180m
  • 1 Mbps _at_500m
  • Prices still falling
  • Access point, ltUS180
  • Transceiver, ltUS80
  • Peer-to-peer supported

31
Low Cost Computing Devices
  • Ruggedized terminals with medium functionality
    and low cost lt US100

(also has smart card port and musical keyboard)
32
Bio-informatics
  • Bio-informatics has been defined as the
    discipline that generates computational tools,
    databases, methods procedures to support
    genomic and post genomic research.
    Bio-informatics has been also described as a
    graceful blending of computer science and
    bio-technology. Bio-technology per se is
    experimentation in-vivo (in real life) and
    in-vitro (in test tubes) bio-informatics carries
    the experimentation a step further and makes
    in-silico ( in silicon / micro chip).

33
Stupendous size of Genomic Data
  • Genome sequencing on for 100 organisms
  • Human Genome has 3.2 billion pairs of DNA
    sequences.
  • Data exploding _at_ 5000 DNA sequences or 2 million
    nucleotides/day
  • Refinement, review, reclassification and
    annotation of the above data
  • Information explosion a challenge to
  • Knowledge Management

34
Bio-informatics - Indias Inherent Strengths
  • High international profile of Software industry
  • Vibrant pharmaceutical industry and rapidly
    emerging bio-tech industry
  • World class network of educational and research
    institutions
  • Rich Biodiversity
  • Large population reservoirs of valuable
    diagnostic and clinical data
  • Known strengths in mathematics, logic and
    computational skills

35
Road Ahead
  • Cogent policy framework to give fillip to
    Bio-informatics Industry in India
  • Bio-informatics is inextricably linked to the
    fortunes of new drug research and new crop
    research
  • The fiscal, FDI and Import / Export Policy
    regimes in respect of wet labs facilities should
    be identical to the policy regimes governing
    software technology development and exports of
    software and IT-enabled services
  • Industry to get access to clinical data and to
    data relating to human genetic diversity
  • India should position itself globally as
    knowledge partner and not as a source of genetic
    material and a solution or service provider

36
Nano World
Nanotechnology is concerned with the design and
manufacture of molecular scale devices by
manipulation and placement of individual atoms
and molecules with precision on the atomic scale
as opposed to the top down fabrication
techniques employed in todays microelectronics
technology.
37
Dimensions in Scale
1 cm 10 mm
10-2 m
Head of a pin 1-2 mm
0.1 cm 1 mm
10-3 m
0.1 mm 100 µm
10-4 m
  • Human hair
  • 60-100 ?m

0.01 mm 10 µm
10-5 m
Red blood cells with white cell 2-5 ?m
1 µm 1000 nm
10-6 m
Visible spectrum
0.1 µm 100 nm
10-7 m
The Nanoworld
0.01 mm 10 nm
10-8 m
DNA 2.5 nm width
10-9 m
1 nm
Atoms of silicon spacing tenths of nm
10-10 m
0.1 nm
38
Worldwide Govt. Funding for Nano Technology RD
NOTE Industry Funding is extra about the size
of Govt. funding
39
MCIT Proposed New Initiative
It envisaged that an Indian Nano initiative
be launched with following components
40

Suggested Nano Tech Initiative
The Indian nano initiative will be very capital
intensive, needs infrastructure creation and
sustenance over at least 10 years to produce
results and would necessitate liberal funding for
operations.
(i) National Facility for Nano Sciences
(Initial seed support includes prototype Fab
provision) Running costs/ Updating for 10
years (ii) At least 8-10 Centres of excellence
in - NEMS - Molecular Bio-Electronics
- Nano Electronics - Nano Computing -
Modeling and Characterization - Capital
equipment development - Manufacturing
Techniques - Nano materials
41
Super computational support for post genomic RD
  • In-silico-computation in-silico simulation
  • Genome assembly and sequencing
  • Proteome or Protein architecture / structures
  • Metabolome for acquiring understanding of
    metabolic reaction and enzymatic mechanism
  • Genome Annotation
  • In-silico
  • Drug target identification
  • Design
  • Toxicity testing
  • Modeling

42
Nano Scene
Nano materials
Nano actuators
Nano sensors
Artificial muscle

Nano
robot components
Nano electronics
  • Carbon nanotubes
  • Dielectric and ferroelectric Materials
  • Multifunctional polymers
  • Bio compatible materials
  • Scalpel, tweezers Nano tools


Nano
-
and Micro
-
pumps

Nano
-
and Micro
-
motors


Nano systems
- Resonant Tunneling Devices - Single Electron
Transistors - Quantum well structures -
Memories - Logic circuits - IR Detectors - Sensors
  • NEMS (Nano Electro Mechanical Systems)
  • Nano-machines and robots
  • Tele-surgery
  • Drug delivery
  • Reconfigurable Systems





43
Indian Nano Effort
  • DST has initiated an exercise in nano about 5
    years back under Prof. D Nagchoudhary.
    Committee examined various aspects in a 3 year
    period, 2 projects could only be started due to
    application criteria.
  • 2 years ago, DST reconstituted the nano panel
    with Prof. CNR Rao as Chair. The group has most
    recently funded 2 D academic/ research groups in
    nano.
  • DST has allocated Rs. 100 crore for nano effort
    in 10th Plan. DST thrusts are in basic
    research, some device applications, Bio-nano,
    nano education.
  • DRDO has under nano funded DMSRDE at Kanpur with
    Rs. 30 crore funding for nano tube project.
  • Besides above, country does not have any other
    funded national effort.


44
RD groups within the country having nano related
activities are IIT Mumbai -
Nanoelectronics, Biochips, Molecular
Electronics. IIT Kanpur - Nano crystal
materials. IITKGP - Nanoelectronics IIT
Chennai - MEMS, Nano materials IIT, Delhi -
MEMS, Nano processes CSIO, Chandigarh - DNA
bio-chips CEERI, Pilani - MEMS packaging,
NEMS SCL - Nano electronics (Scaled
devices) BEL - MEMS, Nano processes Indian
Institute of - Nano structure material and
Chemical Technology, applications. (IICT)
Hyderabad CEMET - Nano materials Under the DIT
initiative, a meeting of key RD/industry/ user
groups with nano related efforts was held in end
July 2002 and preliminary interests as emerged
from this meeting are being followed up.
45
  • Manpower Development over 10 years, _at_ 100
    Cr/Yr
  • (iv) Sponsored RD in Nano electronics _at_ 100
    cr./year
  • including indigenous development of nano
  • capital equipment over 10 years
  • After seeing the experience of the proposed
    system over a 2-3 Year period, the set ups could
    be duplicated as needed.

46
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