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Emerging Technology Hubs of India

August 29, 2023 2858 1 nasscom insights

Emerging Technology Hubs of India

The report, in partnership with Deloitte, highlights the rise of tier-2 cities in India as dynamic tech hubs, reshaping the future of work and innovation. It is a comprehensive guide for enterprises to make informed decisions about establishing and operating technology centers in emerging cities. The report presents profiles of 26 Indian emerging technology hubs, Analysis of 5 essential pillars for establishing technology hubs in India, models and factors for successful location strategy and case studies of companies with successful location strategies.

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Key Highlights

Decentralised work is here to stay-hybrid workforce to companies expanding to locations outside metro cities

 

  • Despite a sectoral CAGR of ~9 percent in the past four years, the majority of the 5.4 million people employed in the technology industry in India have clustered around seven major cities.
  • About 30 percent of India residing in non-metro cities relocates to tier 1 cities for employment after graduation.

 

Tier-2 citiescontinue to grow, however the nature of growth is different

  • Emerging cities are leveraging their core competencies to become a destination for a different type of service or industry, and thus building their own unique brand
  • Example Mysuru - a cybersecurity hub, Ahmedabad -BFSI and FinTech capabilities

 

Emerging hubs of competenceincentivising companies to pursue a multi-tier location strategy

  • Development of physical infrastructure, skill diversity, start-up presence, government initiatives, risk and regulatory environment and high social, living standards have ensured tier 2 cities standards are comparable with tier 1 cities

 

Availability of abundant and varied talent pool is the strongest pillar for many of the tier-2 cities

  • Non-metro cities produce 60 percent of India’s overall graduates from their engineering, arts, and science colleges, giving companies a significant competitive advantage for their multi-tiered location strategy

Community by nasscom Insights is focused on building the largest online community catering to the Indian technology sector. The purpose of the community is to bring the latest trends and discussions onto a single platform. Our passion for tech drives the free-flowing exchange of ideas and visions from industry leaders and game-changers across India.



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