India s National Policy On. Information Technology. Ajay Sawhney, President & CEO, National egovernance Division, Dept of IT

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1 India s National Policy On Information Technology Ajay Sawhney, President & CEO, National egovernance Division, Dept of IT

2 Current Status of IT/ITES Industry in India Indian IT-BPO industry (excluding hardware) grew by 19% to reach USD 76 bn in FY 2011 Exports estimated to grow by 18.7% in FY 2011 to reach USD 59.0 bn India - leader in global sourcing with more than 50% share of global outsourcing market Domestic market grew by 16% in FY11, to reach INR 787 bn (~USD 16 bn) Direct employment (IT-BPO sector) growth by 10.4% reaching 2.54 mn, over 240,000 jobs added in FY 2011 World s Cheapest tablet Aakash launched in India

3 Current Challenges Leveraging IT for growth of key and strategic sectors to enhance efficiency, competitiveness and technological edge Infrastructural challenges, human resource constraints for further expansion in major IT hubs- Bangalore, Chennai, Hyderabad, Pune, Mumbai and NCR Lack of adequate capacity for implementing complex e-governance systems Limited focus on R&D and innovation for building new products, processes and business models Need for stable tax regime and simplified labor laws in States/UTs for facilitating establishment of IT/ITES enterprises

4 Triad of Draft Policies Released National Policy on Electronics 2011 Create globally competitive electronics design and manufacturing industry to meet India s needs & sustain growth in IT and Telecom Achieve ESDM turnover to USD 400 bn by 2020 with USD 55 bn in VLSI chip design and embedded software Facilitate Semiconductor Wafer Fabs, augment skilled manpower and address domestic requirements in key sectors National Policy on Information Technology 2011 Consolidate India s position in IT & ITES; use IT to enhance rapid, inclusive and sustainable growth Achieve IT/ITES turnover of USD 300 bn by 2020 Pool of 10 mn additional skilled manpower in ICT National Policy on Telecom 2011 Provide high quality, affordable and secure telecom services Achieve 600 mn Broadband connections by 2020 Address issues of licensing and spectrum, promote convergence and value added services

5 Draft National Policy on IT Vision To strengthen and enhance India s position as the Global IT hub and to use IT as an engine for rapid, inclusive and sustainable growth in the national economy

6 Mission of the IT Policy Consolidate India's position as global IT & ITES hub; leverage IT to contribute significantly to GDP and employment Create sustainable ecosystem for R&D and Innovation Leverage ICT for enhancing competitiveness and productivity of key economic and strategic sectors Provide ubiquitous, affordable access to information and public services Be the leading resource base for IT and ITES manpower for domestic & global markets Ensure a secure cyber space to facilitate trust and enable sustained growth of ICT Transform India into a Knowledge and Service Society

7 IT Policy Key Objectives Increase revenues of IT & ITES Industry: USD 88 bn to USD 300 bn by 2020, expand exports: USD 59 bn to USD 200 bn Gain significant market share in Cloud Technologies & Services & Mobile Value Added Services Promote innovation and R&D with focus on applications and solutions for localization, location based services, mobile value added services, Cloud Computing, Social Media and Utility models Encourage adoption of ICTs in key economic and strategic sectors to improve competitiveness Provide fiscal benefits to SMEs & Start-ups in key industrial sectors for adoption of IT Create a pool of 10 million additional skilled manpower in ICT Make one individual in every household e-literate

8 IT Policy Key Objectives Provide mandatory delivery of and affordable access to all public services in electronic mode Enhance transparency, accountability, efficiency and reliability in delivery of public services Leverage ICT for Education, Health, Rural Development and Financial Services Make India global hub for development of language technologies Enable access to content and ICT applications by differently abled people to foster inclusive development Leverage ICT for expanding workforce and enabling life-long learning Strengthen Regulatory and Security Framework for ensuring a Secure Cyberspace ecosystem

9 Key Strategies Create ecosystem for globally competitive IT/ITES Industry Enabling establishment of IT/ITES enterprises through a stable tax regime Formulate Fiscal Policies to attract investment in IT Industry in Tier II & Tier III cities Provide fiscal benefits to SMEs and Start-ups in Key Industrial Sectors for adoption of IT Focus on Human Resource Development Setup centres of excellence in institutes of higher learning : to produce at least 1,000 PhD s in ICT by 2020 Build institutional infrastructure to create pool of 10 mn trained persons in IT sector by 2020 Promoting Innovation and R&D in IT Sector Build R&D infrastructure and testing facilities for emerging technologies Incentivize innovation in public supported research Create ecosystem to support R&D and Innovation in Academia through collaboration with industry

10 Key Strategies Enhance productivity & competitiveness in key sectors Leverage ICT to enable outreach of secure & interoperable financial and banking services in remote areas Derive new ICT technologies through strategic sectors (defence, atomic energy, space etc.) Promote use of IT in Key and emerging economic sectors Create ecosystem for Internet and Mobile driven Service Industry Leverage Internet and Web technologies for developing new products, technologies and businesses Integrate internet & mobile based delivery of services onto a common platform Enable Service Delivery through e- Governance Mandate for providing all Government Services through Electronic mode Mandate public procurement through electronic means across all departments Develop & implement Enterprise Architecture Framework for e- Governance

11 Key Strategies Development of Language Technologies Make India a global hub for language technologies Development of language technologies that enable text-to -speech and speech-to-text conversion, voice recognition, machine translation etc. GIS based IT Services Develop GIS platform for facilitating location based planning, information and service delivery Enable availability of public spatial data Security of Cyber Space Indigenous development of suitable security techniques & technology Creation of a culture of cyber security for responsible user behavior & actions Create, establish and operate an Information Security Assurance Framework

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13 Thank You

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