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ABSTRACT
The use of Information Technology to conduct business has become an indispensable phenomenon in today's business environment. The Information Technology Sector's contribution to national Gross Domestic Product (GDP) is noteworthy so is its contribution towards direct and indirect employment generation. The Software sector has been one of the key catalysts for the Indian economy. The government initiatives and directives have also fostered and strengthened the growth of the Information Technology Sector. The main objective of this paper is to bring to light the working of Software Technology Parks of India (STPI). It was initiated as a Software Technology Park Scheme. It is basically export oriented in nature and was started for the development of Computer Software exports. It represented a fundamental approach to policy making for software industry. This is an exhaustive study conducted primarily through secondary data and also assimilated through telephonic dialogue with officials of Software Technology Parks of India, National Association of Software Services and Companies and Confederation of Indian Industry personnel.
Keywords: Software Technology Parks, Information Technology, Software Exports
Introduction:
India is the 2nd largest democracy and the fastest growing in the world. It has grown to become a trillion dollar economy; a major contributor of this growth is the private sector. The Software sector has been one of the key catalysts for the Indian economy. The story of Indian Information Technology (IT) dates back to 1960s. Tata Consultancy Services was the first Information Technology Company to have started in 1968 and subsequently began its exports in 1974. The new computer policy of 1984 put focus on Indian Information Technology industry. By 2011 India had become the leading exporter of Information Technology services. Indian Information Technology firms have captured 16% of the global market in customized software.
In the domestic segment Information Technology accounts for 36% & in exports it accounts for 64%. The Compound Annual Growth Rate is 27%. The Information Technology growth tale is indicative of export oriented growth. In employment generation also it has a multiplier effect. The Indian Information Technology sector is concentrated in seven clusters Bangalore, Delhi, Mumbai Hyderabad, Chennai, Pune and Calcutta. The geographical spread of the Information Technology sector has also expanded to the Tier-II & Tier-III destinations since they offer...