The Hindu Business Line : AP Govt sets up `think tanks' for tech sector

THE Andhra Pradesh Government has created three separate `think tanks' in the areas of IT services, ITES (BPO) and hardware sectors to look into specific requirements and help the State chart out necessary policy changes.

The Andhra Pradesh Chief Minister, Dr Y.S. Rajashekara Reddy, said, "These `think tanks' will have representatives from the Government and industry and work towards formulating a new strategy to boost these sector. Information technology sector is amongst the fastest growing sector and there is huge untapped potential. We need to further boost the sector, particularly in the areas of BPO and hardware, the latter is often neglected."

Speaking at the meeting to launch the SDE Prameela Techno Park, which has been taken up by Satyam Computer, Dr Reddy said the Nasscom-KPMG study has projected significant opportunity for growth of the IT sector in the State, which can be addressed by providing the necessary human resource base as also real estate support.

Dr Reddy said, "We are exploring the possibility of locating a FAB Semiconductor foundry in the State. However, this requires an investment support of about $150 million on behalf of the Government. This could be part-funded by the Centre through subsidy. If this is achieved, the likes of Intel and Motorola would be interested in setting up a FAB facility. Everywhere in the world, the semiconductor industry has been established with some subsidy support."

The State Government has embarked on an ambitious info highway project that seeks to take broadband to the rural heartlands of the State. This project requires an investment of about Rs 600 crore, where the Central Government could play a supporting role. The other issue is the State-owned BSNL could provide its optical fibre backbone support.

Dr Reddy urged the Union IT Minister, Dr Dayanidhi Maran, to impress upon the Software Technology Parks of India to expedite the incubation centre planned for Hyderabad. This project would help small IT companies in formative stage.

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