Pune takes roads taken by Silicon Valley
TIMES NEWS NETWORK TUESDAY, JULY 18, 2006 03:07:13 AM
PUNE: The emergence of Pune as an IT centre has been driven by small, home-grown players. And many think that Pune is the way Silicon Valley was 25 years ago, with its emphasis on education and entrepreneurship.
Puneās status as an IT destination is as old as the industry or at least from the time export of software under the Software Technology Parks of India (STPI) began in Ī91. The first such exports were from a Pune-based start up and since then, the city has not looked back. After all, Infosys began in a small flat in the Model Colony area in Pune.
Nothing typifies the regionās psychological makeup more than the IT sector: low key, high tech, with unsuspected depth and width. Pune is well established in the emerging areas of chip design and embedded software.
High-end business process outsourcing (BPO) for the financial sector and the traditional CAD-CAM-CAE spaces are the other core development areas for software units in Pune.
Being an industrial and manufacturing centre, it was but natural that the first focus of software development would cater to this industrial base. The natural corollary was the development of Computer Aided Design (CAD), Computer Aided Manufacture (CAM) and Computer Aided Engineering (CAE).
Who knew then, in Ī91, when the STPI set up office in the industrial suburb of Bhosari ÷ where software companies occupied smoke-stack industry-style Īgalasā ÷ that it would become a $1bn exporter by Ī05, in a decade-and-a-half? VCs like Pramod Haque, while on visit to the city last year, described Pune as a Īhotā destination, a Īcity to watch for ITā.
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He added that Pune is the way Silicon Valley was 25 years ago, with its emphasis on education and entrepreneurship. ćWe are advising all our newer portfolio companies to set up their off shore development centres (ODCs) in Pune,ä Mr Haque said.
The emergence of Pune as an IT centre has been driven by small, home-grown players, hence its late emergence. And being entrepreneur-driven, several were in the product space. Of course, when the services boom happened, they all shifted gears and moved to services. Still later, when products, or parts of products were being off-shored to India, some moved back to product development.
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