Sunday, October 23, 2005

Infotech Blues

Infotech Blues
The Economic Times


NOT too long ago when a Karnataka industries minister went to the USA to seek NRI (Non-Resident Indian) investment, he attended a symposium where he was very impressed by a dynamic entrepreneur called Chang who was so positive that he seemed to see every problem as an opportunity. Finally, when the minister had a chance to talk to the entrepreneur alone, he asked him, “Where are you from Mr Chang? You don’t quite look Chinese.” The entrepreneur replied, “I am from Karnataka and my name is Chadrashekhar. My American friends found the name too long and shortened it to Chang. And the name has stuck.” The minister, who is now alas no more, used to repeat this anecdote at every other meeting with industry to make the point that Indian entrepreneurs could thrive in the highly competitive US business environment.

This anecdote comes to mind in the midst of the latest controversy generated by former prime minister and Janata Dal (Secular) supremo Deve Gowda’s sound-bytes against the IT sector in general and Infosys’ chief mentor Narayana Murthy in particular. Just when it looked as if the dust had settled down over the IT sector’s initial reluctance to participate in the annual Bangalore IT.in event to protest over the appalling infrastructure by way of potholed roads tying up the traffic in knots, Deve Gowda has unleashed a fresh salvo.

In a missive to the Karnataka CM, copies of which the letter-writer released to the press, Deve Gowda accused “some quarters” in the IT sector of trying to destabilise the Congress-JD(S) coalition government in Karnataka by consistently blaming it for everything wrong on the infrastructural front. He even went to the extent of accusing “some quarters” of grabbing farming land under the guise of software development and then speculating in it! Without identifying these ‘quarters’, the letter happened to mention that Infosys had acquired 78 acres of land in Bangalore, 350 in Mysore and 311 in Mangalore, besides seeking allotment of 845 acres outside Bangalore for setting up a software development centre and residential township.

Ironically, the former PM’s missive comes at a time when other Indian states are wooing the likes of Infosys and Wipro. After a recent meeting between Murthy and the West Bengal CM, Infosys is dispatching a team to Kolkata to explore the possibility of setting up a Rs 500-crore campus in Kolkata to house 10,000 developers when completed. And coming up in Chennai is Infosys’ Rs 1,250-crore mega campus which will house 25,000 developers when completed. Other IT industry types say that China is offering Indian software corporates everything from two-year rent-free premises to five-year tax holidays, apart from picking up the firstyear salary bill! Granted, any irregularity in any allotment of any land to any company has to be questioned. However, by linking this with the IT sector’s criticism of the Bangalore infrastructure, the former PM seems to be trying to score political points. Surely, the country deserves better than this! And what would Chang have to say about all this!

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