Andhra aims to be a hub for startups
Aug 26 2014 , Hyderabad
State to provide enabling atmosphere to IT firms
The government has set a target of achieving five per cent share in the national software exports and provide an enabling atmosphere to IT companies.
The software exports from the united Andhra Pradesh were about Rs 49,831 crore during 2012-13 and Rs 57,000 in 2013-14. However, after the bifurcation, the contribution of IT to Andhra Pradesh’s GSDP has come down.
The policy blue print “Re-imagining Andhra Pradesh – role of e-governance, electronics and IT” has set out a vision to develop the state as “innovation society”. It wants AP to be the first in India in quality and quantity of e-services and be known as the silicon corridor of India.
It aims to attract $2 billion investments in IT and $5 billion in electronics manufacturing. It also plans to promote startups and IT units.
Visakhapatnam would be developed as a mega IT hub with an IT township with a built-up area of five million sq ft. A signature tower of one million sq ft would form the nucleus of the hub. Vijaywada, Kakinada and Tirupati would also be developed as IT hubs.
About 15 per cent of the built-up space would be reserved for SC/ST and women entrepreneurs. Andhra Pradesh also plans to set up a Startup Village.
Meanwhile, Hyderabad is seeing a momentum in the startup ecosystem across domains.
“Earlier most startups were in the technology realm and there was no investment link to startups from other domains. Things are now changing,” said Suresh Perugu, co-founder of ESD Startups, which is organising the August Fest, a platform for startups, this weekend.
The August Fest is looking to establish a mentor network for startups, which will help groom them into successful businesses.
About 25 startups will pitch for seed fund at the fest. Even if we succeed in getting seed fund to 10-12 startups, it would be a successful event, said Ramesh Loganathan, managing director of Progress Software. Loganathan is also coordinator for the event.
Last year, four of the nine startups that had made the pitch succeeded in raising seed fund. This year, there are 140 applications for the seed fund.
The August Fest will also have a resource expo where support systems like incubators will be showcased. The event is held as a pointer to the proposed T-Hub, which will have 80,000 sq ft space in the initial phase and accommodate 300 startups. Subsequently, it would be extended to 3 lakh sq ft to accommodate 1,500 startups.