The growth of Information Technology (IT) does not appear to have taken off in Andhra Pradesh, especially in Visakhapatnam, as as desired by the stakeholders including the entrepreneurs and employees.
The non-clearance of pending incentives to the IT and IT-enabled companies worth ₹100 crore, lack of infrastructure and Covid-19 lockdowns are said to be the major causes for this snag, as per industry sources.
Meanwhile, around 40-50 medium companies in Visakhapatnam, with a strength of 50-100 employees, are believed to have closed down and sources say that some of those firms shut shop due to Covid-19.
However, companies such as Uber and Ranstad have opened their campuses here. Although Infosys has announced its campus in the city, it is confined to papers only. Adani’s data park project here may also be delayed after its recent downfall in the stock market.
Rushikonda Information Technology Park Association (RITPA) Vice President O. Naresh Kumar says that both the old and new IT policies look good on paper but they have not been implemented yet.
Information Technology Association of Andhra Pradesh (ITAAP) Chairman (Investment Committee) R.L. Narayana said that Chief Minister Y.S. Jagan Mohan Reddy announced his relocation to Visakhapatnam and his invitation to delegates of the Global Investors Summit in Visakhapatnam had created a good buzz among the investors across the globe.
IT Minister Gudivada Amarnath also reiterates that the State government is now focusing on IT and other industries and adds that Covid-19 was one of the main reasons for the delay.
“We have now made a comeback and started programmes to create a buzz. We are willing to offer support to the investors in all aspects for a better outcome and development of the State”Gudivada AmarnathInformation Technology Minister, Andhra Pradesh
“We have now made a comeback and started programmes to create a buzz. We are willing to offer support to the investors in all aspects for a better outcome and development of the State,” Mr. Amarnath says.
As IT is one of the key sectors that would bring immense recognition to Y.S. Jagan Mohan Reddy globally, he needs to focus on it and bring the change before the next elections, opined a senior professor from Andhra University.
GFX head: Visakhapatnam at a glance
A two-tier city
Poised to become Executive Capital of Andhra Pradesh
Maximum annual IT turnover is between ₹2,000- ₹2,500 crore.
₹5,000 crore turnover anticipated in next two years
Home to 80% of IT companies in Andhra Pradesh