The southern state of Andhra Pradesh has taken the lead to grab a large chunk of India’s $15bn Internet of Things (IoT) target by 2020. In fact under the leadership of its tech-savvy chief minister, the state became the first in India to even have an IoT policy. So what does this really mean?
As N. Chandrababu Naidu arrives in London this week to woo UK businesses to choose Andhra Pradesh as their choice of investment destination in India, the chief minister’s reputation as an IT whiz precedes him. Nearly two years after the bifurcation of the state (to create a new state of Telangana), he has stayed on track with his vision of what has been often referred to as Andhra 2.0 – a tech-enabled hub of entrepreneurship with an ambitious growth target of 14-15 per cent.
His recent message to industry: “We will give you infrastructure, 24X7 power, good labour and good governance, only we need investment and you have to join us in developing the new state.”
With this goal in mind, he recently unveiled the ‘Andhra Pradesh Internet of Things Policy 2016-20’, with the aim of capturing at least 10 per cent ($1.5 billion) of the $15-billion Indian IoT market and eventually becoming the “IoT hub” of the country.
The global IoT sector is set to be worth nearly $373 billion by 2020 and within this context, Andhra Pradesh has set itself some ambitious goals:
The policy itself has been divided into five segments:
The state’s minister for information technology, Palle Raghunadha Reddy, explained: “We will develop state-of-the-art IoT infrastructure, both physical and technical, that matches to international standards in all major towns of the state.
“This programme is intended to develop over 1,000 innovative companies and train over 6,000 scientists, innovators, engineers and entrepreneurs in AP. Hundreds of new jobs will be created in the first phase and over 2,500 jobs over the next five years.”
The vision is not only grand but also timely as Indian IT spend is forecast to hit $71 billion in 2016, with spending on IoT hardware alone to exceed $2.5 million every minute.
IOT will also be the cornerstone of the Indian government’s plans to achieve market capitalisation of $300-$500 billion within the next five years by delivering tech-enabled social innovations across the length and breadth of the country.
Naidu has once again proved he remains ahead of the curve when it comes to all things IT.
Tagged: Investment, Information Technology, Digital India, IoT, Development