Vizag remains most preferred destination for IT investment

The sector will continue to grow at 30% per annum, says ITAAP president

The IT sector in Visakhapatnam mostly comprising business process management and knowledge process management units is all set for an impressive growth if the interest evinced by entrepreneurs for investment is any indication.

Prior to the bifurcation, Visakhapatnam was the second largest IT destination in the United Andhra Pradesh after Hyderabad. Notwithstanding the government’s decision of ensuring a Cyberabad-type development in Visakhapatnam along with Amaravati, Tirupati and Anantapur, the city has remained the most preferred destination for investments in the IT sector. The figures speak themselves as the city is believed to have witnessed a 30% rise in the turnover of the IT sector during the 2017-18 fiscal when compared to the ₹2,000 crore in the previous year. “Visakhapatnam has always remained the first choice of investors so far the IT sector is concerned,” IT Minister Nara Lokesh told the media during his recent visit to the city.

“Blessed with robust infrastructure and locational advantage , the city, as per our estimates, will continue to grow at 30% per annum,” IT Association of Andhra Pradesh (ITAAP) president Ravi Eswarapu told

The Hindu .

Growth curve

The city can boast of providing 20,000 jobs in the IT and IT enabled service sector and the ITAAP estimates that the job count will grow to 30,000 within a year. The ITAAP is planning for organising a mega IT festival in the city as a prelude to the Visakha Utsav to showcase the investment potential of Visakhapatnam by bringing various companies and job aspirants to a common platform.

Big ticket projects

Despite a major setback due to shelving of projects like Cyber Tower in Visakhapatnam Special Economic Zone, Duvvada and Signature Tower at Rushikonda and there is no progress for a Boeing-shaped tower at Siripuram as a joint venture by VUDA and STPI, the launching of operations by a few big ticket projects in recent time has raised expectation among the IT entrepreneurs.

Franklin Templeton and Innovation Solutions has recently opened a ‘Centre for Innovation’ at new building of the Tech Mahindra. Conduent, a $6 billion American company, has temporarily launched its operations from a rented accommodation at Rushikonda. While Franklin Templeton and its technology partner have been allotted 40 acres near Rushikonda, the Conduent is being allotted space with the ‘plug and play facilities’ at the newly-built Millennium Tower.

The city is also attracting investments in blockchain technology. “The government is making efforts to develop comprehensive ecosystem as part of Vizag Fintech Valley initiative launched by the APEITA, says J.A. Chowdary, Special Chief Secretary and IT Advisor to the Chief Minister.

Santosh Patnaik