When it comes to leadership roles in most top tech companies in the world, we have Indians at the helm.
In IT services as well, we have 2 companies in the top 3. (TCS, Infy)
But, what’s stopping us from having world class IT product companies? Currently, i can only think of Zoho …are there any other interesting Indian companies in this space ? Even when it comes to cloud computing, data centres we are far behind the US companies like Amazon and Microsoft. Any reason for that?
Would appreciate insights from people who have knowledge about tech.
Historically we have been focused on IT services, but in recent past there are multiple tech product companies taking shape in India.
Indian Fintechs are prime example. They all are product company catering to millions.
Jio is another example which is morphing from a telecom to a tech company. There are many other examples
These companies started decades back. It takes time to catch up.
Also US has an inherent advantage of attracting talent. In last 2-3 decades best of the tech talent from around the world (including India) migrated to US and still continue to do so. Couple this with US universities which are another magnet for global talent and have some great research facilities.
It is this global talent which is building such global tech companies.
Its not like we didn’t produce tech product companies, we did. Bangalore is full of tech startup companies and most of them certainly do fail. But there are a handful of amazing billion dollar tech product company. However our country is still drunk on socialism, continues to tax higher bracket income earners with no benefits and corporate taxes are high compared to other countries along with bad policies that seem to favor only some rich company entity called ambani, adani , tata etc.
Post man is a well know 2 billion dollar company from Bangalore. Their product is well in IT industry throughout the world, for corporate tax issue company moved from Bangalore to San Francisco bay. The same thing happened to flipkart. They moved to Singapore. I am pretty sure nithin must be thinking back of his head that it is better to move zerodha to UAE or Singapore or even US.
That guy sridhar vembu. what he does is charity in my opinion. I mean yeah for sure for a non IT person zoho is a billion dollar company, great salary , development , low cost CRM product blah blah . But they are in competition with that giant salesforce. With policies like these and corporate tax rate, it definitely is an issue especially with growth and I am not sure how well he can compete with salesforce. I am pretty sure he might have considered moving abroad as well.
Not an expert on this, so please take my opinion with a pinch of salt, but if you think about some of the global product companies, they have been around for quite some time. It takes a while to build product companies and augmented by risk taking capital (VC, PE), the industry can really go places. If you look at VC funding quantum over the past couple of decades, it has found its way to US and China. Well, for the past 5 years or so, some of the dollars have been invested in India too. And we see lots of startups in the IT products space. Eventually, there will be some winners from this lot and we will have more IT product companies from India that will go global.
But to specifically answer the question why we dont already have them - lack of capital for folks with ideas to execute and also lack of addressable local market to prove the product. As India gets more digital, there will be more local testing, validation and can help companies go global eventually.
yes… you are spot on! Thats what is reflected in ease of doing business ranking.
Economy
globalRank
Rank within group
Starting a business
Dealing with construction permits
Getting electricity
Registering property
Getting credit
Protecting minority investors
Paying taxes
Trading across borders
Enforcing contracts
Resolving insolvency
India
63
63
136
27
22
154
25
13
115
68
163
52
if we can fix it, we will create environment suitable to produce Tech Product companies.
Without going into pollical slugfest, I can safely say that we as a nation slowly improving on ease of doing business index … but certainly more needs to be done.
Frankly speaking, I very much doubt it. He has always been vocal about creating successful companies n entrepreneurs in India. Don’t recollect exactly, but i think he has even tweeted about this.
