ICT Education and R & D in India

By Dr. T.H. CHOWDARY

Director: Center for Telecom Management and StudiesChairman: Pragna Bharati (intellect India )Former: Chairman & Managing Director

Videsh Sanchar Nigam Limited &Information Technology Advisor,

Government of Andhra PradeshT: +91(40) 5567-1191/ 2784-6137(O) 2784-3121®

F: +91 (40) 5567-1111, 2789-6103hanuman.chowdary@tcs.com

thc@satyam.comTalk @ Birla Science Center, Hyderabad : 4 Oct 2006

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University Education for

• Wealth Creation

• Quitting poverty

• Nation’s strength and

• Power

• Knowledge Creation (R&D, IPR)

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Enrollment of University age (17 to 23) population

Country Year Ratio

Developed Countries 1995 51.0

USA 1994 81.1

Finland 1994 66.9

France 1993 49.6

United Kingdom 1994 48.3

Japan 1994 40.3

Singapore 1995 33.7

South Korea 1995 52.0

Malaysia 1994 10.6

India 2006 7.0

China 2005 8.0

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‘Varsity Education in the Country

• Population of Age group Y 18-23 = 160 mln

• Educational Institutions in India

High schools Colleges Universities State Self- Others Total funded funded

120,000 17,500 205 95* 10 310

* 30 more pvtes

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How Equipped is India for Higher Education

Country Population

(million)

No of Uni-versities

To be on par with the country of comparison; Varsities India needs to have

Korea 45 120 3000 Israel 6 10 1700 Lesotho 2 2 1000

UK 50 170 3400

USA 280 1700 6100

Australia 18 39 2,200 China 1300 900 760 India 1000 310 ----

*Suggest: Begin having a University for each District* Every Private Engineering College should be required to grow into a University within 8 years of wind up.•Corporates to found.fund ‘Varsities’.•In India we have 8.8 mln. or 5% of the young in the age group 18 to 23 yrs. in Universities

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Scientists: World Bank 2006

India China UK Australia USA Japan

157 545 2666 3353 4099 5095

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No. of Scientific Papers Published

Country 1980 2000 No. of papers/mil. people Y2000

India 4,983 12,217 12.0China 924 22,061 19.0S.Korea 175 12,013 270Brazil 2,215 9,565 70Israel 5,773 9,292 1,550

Source: Science Citation Index. Inst. For Scientific Information Philadelphia ( E.T 23.08.02)

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In Matters of Science,India Lags Behind

Country No. of people in R&D*

% of science and engg.students**

R&D expenditure***

Human Development Index rank

Japan 5,085 20 3.1 11

United States 4,526 19 2.7 10

Russia 3,415 40 1.2 62

South Korea 2,979 41 2.5 28

China 633 25 1.2 85

Brazil 324 40 1.0 63

India 120 20 0.8 127

* Per million of the population ** In tertiary education *** As % GDP (1997-2002)

Source: Business World, 30 Jan 2006

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India- the Ancient Seat of Learning

• Takshasila, Nalanda where tens of thousands of foreigners were studying over 50 subjects

• Now over 120,000 Indian students studying abroad

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Indian students Abroad

USA UK Australia New Zealand

> 80K 15K 10K 3K

Spend: $2.32 bln abroad

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Foreign Students in the USA (2004-’05)

Indian Chinese Korean Japanese Canada

80,466 62,523 53,358 42,265 28,140

If Indian students match

50,000 8,50,000 4,23,000 19,60,000

* 40% of US doctorates go to foreigners

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College Grads ( Professions) Leaving Country (%)

Italy France UK Spain FRG India

2.5 1.1 0.9 0.8 0.6 (2 to 5 )

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India’s Annual Production of Professionals

Engineers 450,000

(of whom) ICT Grads: 150,000

MCAs 80,000

MBAs 80,000

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Indian Software Industry Exports ( $ mln )

1,124 1,755 2,7003,900

5,7008,000

10,00012,000

16,000

21,000

1995-96

1996-97

1997-98

1998-99

1999-2000

2000-01

2001-02

2002-03

2003-04

2004-05

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Employment in Indian IT sector*,’000

0

500

1000

1500

2000

2500

2000 '01 '02 '03+ '04+ '06+

Call-centers (ITES) Software Multinational operations

(* Years ending March; + Estimate@ break-up: NA)

20 mln@

‘06

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Out-look for the IT Sector

• 125 of the Fortune 500 and Worlds ICT giants have R&D centers in India; Texas Inst., Lucent, Siemens, Nokia, Motorola, Microsoft, Intel, QUALCOM, HUAWI, ZTE, Ericsson…. are locating their Development Centers in India: Seed-beds for Indian cos. to emerge

• NRI- Enterprises- Talents in India- Markets in North America, EU; far East & China

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Indian Talent Works for Others

• GE- largest R&D center outside USA in Bangalore 2300 – double that in Shanghai – $ 80 mln Bangalore center – Filed for 260 patents (37 appvd.)

• Motorola: 1700 employees– 40% of software in its mobiles from India– The Internet Browser and multimedia messge system

conceived & developed for 3G,GSM, engineered– Global automakers ( 3 to 5)% on R&D

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Some Foreign Companies’ Employees in India

GE Caps GE Dev IBM Oracle EDS Texas

16,000 1,800 43,000 6000 3,500 900

Intel JP Morgan

HUWAI Siemens Motorola

1,700 1,200 1,500 2000 1,500

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IBM in Indian: Largest MNC Employer

• Since 14 years

• 2003 Dec - 9,400

• 2006 June - 43,000

• Life Science Research, grid computing chip design,e-governance, software & hardware remote Infrastructure Management & BPO

• Growing @ 45% Y.O.Y in 2004 & 55% YOY in 2005

• Triples investment in India from $ 2.0 bln in 2003 to $ 600 bln by 2009

• April 2004, acquired Daksh ( India’s largest BPO and call center biz.)

• Got a 10 year $ 750 mln outsourcing contract from Bharti Tel in Y2004.

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India as base of R&D

• India: 150K computer graduates

• Foreign companies setting up Development centers in India

• Texas Instruments, Motorola, QUALCOM; HUAWI, ZTE, Microsoft, Alcatel, Siemens, Huawi

• Pharma companies too

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Knowledge Production

• TIFR BARC ISRO ECIL I.I.SC B.I.T.S• 25/30,00 IIT ians in the USA “Never in the history of Congress so much talent was assembled in this House” – IIT meet in the US; Congressman Chairman of India-caucus

• C-DAC: Pune• CEERI- Pilani• C-DOT, Delhi

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World’s Attention to India

• The Economist (UK), June, 2006• “Can India Fly” – 14 page supplement• “…India is producing far more world class

companies than China…”• Time (USA) June 26, 2006• Cover page…”…trying to find out why the

world’s biggest democracy is the next great economic power and what it means for America”

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World’s Attention to India

• Foreign Affairs (USA) (July-Aug 2006)• “India is now the fourth largest economy and soon

it will surpass Japan to become the third largest…rather than rising with the help of the state, India is in many ways rising despite the state…”

• Of the Fortune companies 125 now have Research & Development bases in India, a testament to its human capital.”

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What India has to pay attention to

• Quality/Employability• R & D Funding; Defence Research• Liberal education• Competition from foreign Universities• Great Teachers (70% of living Nobel Laureates

leach in US ‘Varsities• Companies to create Endowments/Chiars &

sponsor Research• Private Universities & India’s off shore ‘Varsities

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Dhanyawad:Thank You