Software industry in Telangana

Microsoft campus at Hyderabad

Cyber Towers, HITEC City

The Indian state of Telangana has a 31% share of software export in India.^[1] While the majority of the industry is concentrated in Hyderabad, other cities are also becoming significant IT destinations in the state. Hyderabad houses the largest campuses of tech giants like Google, Facebook, Microsoft, Amazon, and Apple outside of the US.^[2][3] In Hyderabad, the central region of the business happens in Financial District, HITECH City, the Madhapur suburb, Kokapet SEZ (Neopolis) and Salarpuria Sattva Knowledge City. As of 2023, Hyderabad has 9,05,715 employees in the IT/ITES sector, working in more than 1500 companies.^[4][5][6][7] The number of startups in Telangana had increased from 400 in 2016 to 2,000 in 2022. Hyderabad added two companies in unicorn startup list in first two months of 2022.^[8]

The IT exports from Hyderabad (Telangana) stood second in India at ₹2,41,275 crore (US$ 32 billion) in FY 2022-23 improving from previous year.^[9][10] IT sector exports from Telangana account for 50 per cent of total exports from state.^[11] Telangana contributed to 16.77 per cent of Indian IT sector employment as of FY 2023.^[12][13]

History

T-Hub Launch by Ratan Tata

The first IT tower in Hyderabad was established by the name Intergraph in Begumpet in 1986.^[14] The initiation of this Software Industry in Hyderabad was done by N. Chandrababu Naidu in 1995. HITEC City, nicknamed Cyberabad, was set up with the collaboration of Larsen & Toubro.^[15] N. Chandrababu Naidu developed a slogan of "Bye Bye Bangalore" and "Hello Hyderabad" during his tenure and worked hard to bring International companies like Microsoft, CA Technologies, Deloitte and went on to create Vision 2020. Naidu persuaded Bill Gates to establish a Microsoft development center in Hyderabad, making it the only Microsoft development center outside the USA at that time. He also worked diligently to bring biotechnology companies to Hyderabad, developing Genome Valley, a high-end technology park commissioned in 1999 as S. P. Biotech Park. This was done through a public-private partnership with Bharat Biotech International and its founder, Krishna Ella, along with private infrastructure companies like Shapoorji Pallonji Group and ICICI Bank. During his tenure, N. Chandrababu Naidu also created master plans for an international airport and an outer ring road. D. E. Shaw & Co. was the first multinational company to open its office in Hyderabad in 1996.^[16]

Financial District

Financial District is an IT, real estate and architectural suburb, spread across Nanakramguda and Gachibowli, Hyderabad. WaveRock is a 2.5 million square feet (sqft) Information Technology-Special Economic Zone (IT-SEZ) in Nanakramguda spread over 12 acres (approx).^[17] WaveRock SEZ houses over 25 IT companies including marquee clients such as Apple, GAP, Accenture, Development Bank of Singapore, DuPont among others, and has close to 25,000 to 30,000 employees working out of the premises. In December 2019, WaveRock was bought by the Shapoorji Pallonji Real Estate Fund (SPREF II) for Rs 1,800 crore from Tishman Speyer.

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  Amazon campus in Financial district.jpg
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  Q-city
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  Waverock buildings

HITEC City

Cyber Gateway Madhapur Hyderabad near Raheja Mindspace

The IT industry initiative of the TDP government, started by N. Chandrababu Naidu, involved setting up Larsen & Toubro in collaboration with the policy maker APIIC. This led to the creation of a special economic zone called Hyderabad Information Technology Engineering Consultancy City, or simply HITEC City. It started the era of Software & IT in Hyderabad.^{[citation needed]}

Salarpuria Sattva Knowledge City

JP Morgan Chase & Co. Tower
Hyderabad, Telangana, India

Salarpuria Sattva Knowledge City is a 7.5 million sft IT park spread across 30 acres and 5 megatowers. It is home to global behemoths like JP Morgan,^[18] Intel, Microsoft, Goldman Sachs,^[19][20] Novartis Healthcare, Synchrony Financial, AMD and KPMG. The Bengaluru-based builder, Salarpuria Sattva partnered with Blackstone recently to develop a 7 million sq ft IT park in Hyderabad.^[21][22]

IT Industry in Districts

In February 2016, Telangana Information Technology, Electronics and Communications Minister K. T. Rama Rao laid the foundation stone for IT incubation centre at Madikonda, Warangal.^[23] In January 2020, two major companies namely Tech Mahindra and Cyient have inaugurated their campuses employing about 2,000 people.^[24] Softpath, Quadrant started their operations in the Warangal IT Tower/Incubation Centre.^[25]

Outside of Warangal, the state has set up similar IT Hubs in Tier-2 Towns and Cities like Khammam, Karimnagar, Adilabad, Ramagundam, Mahabubnagar, Nizamabad, Nalgonda, Siddipet, and Suryapet.

See also

• List of companies based in Hyderabad
• The Information Technology Investment Region (ITIR), Hyderabad
• Information technology in India
• List of Indian IT companies

References

1. "'Hyderabad is no competition for Bengaluru & its talent base'". The Times of India. Retrieved 11 March 2023.
2. Abdul, Geneva (25 August 2020). "One of the busiest in country, US consulate General in Hyderabad to get new office". The New York Times.
3. "Will the City of Pearls overtake India's Silicon Valley as the top global services destination?". 4 September 2023.
4. "Telangana's IT exports grew 31.44%; Hyderabad to be largest IT presence in 5-10 years: KTR". 5 June 2023.
5. "IT staff strength in Telangana to double to 10 lakh in 3-4 years". 15 July 2019.
6. "Hyderabad overtakes Bengaluru in IT office space occupation". The Hindu. 21 September 2019.
7. "Telangana's IT exports rose 26% to over ₹1.83 lakh crore in FY-22". The Hindu. June 2022.
8. "Meet Hyderabad's Soonicorns". The Times of India. 23 February 2022.
9. "Telangana IT exports jump 31% to a new high of ₹2.41 lakh crore in FY-23". The Times of India. 21 May 2020. Retrieved 21 May 2020.
10. "Telangana flaunts 26.14% growth in IT/ITeS sector in 2021-22". Retrieved 25 March 2018.
11. "IT, software exports from Telangana in 2018-19 surpass national rate". 10 March 2020.
12. "Telangana's IT exports grew 31.44%; Hyderabad to be largest IT presence in 5-10 years: KTR". 5 June 2023.
13. "Telangana IT exports outstrip national rate, spiral to Rs 2.4 lakh crore". The Times of India. 6 June 2023.
14. "Unlike Haryana, Telangana stable, paved way for 44% of country's tech jobs: KT Rama Rao". The Times of India. 5 August 2023.
15. "Rediff On The Net, Infotech: Andhra may offer more tax sops to IT companies". www.rediff.com. 13 October 1997. Retrieved 8 August 2020.
16. "D. E. Shaw India expands footprint, to ramp up hiring". The Hindu. 20 September 2022.
17. "Hyderabad's IT-SEZ WaveRock bought by Shapoorji-Allianz JV for Rs 1,800 crore". The Times of India. 19 December 2019.
18. "JP Morgan launches new campus in Hyderabad". 13 September 2021.
19. Khan, Sobia; Babar, Kailash (22 February 2021). "Goldman Sachs inks pact for 1.5 lakh sq ft office space lease in Hyderabad's Knowledge City". The Economic Times.
20. "Goldman Sachs opens office in city, plans to hire over 2,000". The Hindu. 19 July 2021.
21. Khan, Sobia (4 April 2017). "Salarpuria Sattva buys 10 acres in Hitec City in Hyderabad". The Economic Times.
22. "Blackstone invests Rs800 crore in 2 Hyderabad office projects". 4 April 2018.
23. "KT Rama Rao inaugurates first IT company at Warangal". Deccan Chronicle. 20 February 2016. Retrieved 26 June 2020.
24. "Watch: Warangal is now home to two major IT companies". Telangana Today. Retrieved 26 June 2020.
25. "Telangana IT, ITeS exports up 26 per cent at ₹1.83 lakh crore in FY22". June 2022.