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    South Asia
     Aug 25, 2006
Bridging India's digital divide
By Paranjoy Guha Thakurta

NEW DELHI - When an Indian computer science student explained to Bill Gates last month how new navigation and processing software that mimics the echo location system used by bats could help blind people move about safely, the Microsoft founder remarked: "I have never seen something like this."

Deepak Jagdish and his fellow students from the Dhirubhai Ambani Institute of Information and Communication Technology, in Gandhinagarm, western India, have developed computer



software that could help blind people "see" the environment around them. The software controls ultrasonic impulses received by proximity sensors that have a minimum range of five meters. The signals are translated into audible frequencies and conveyed to visually impaired users through headphones.

The students working on the software were participating in an annual event organized by Microsoft last month in Agra. Gates said the "most inspiring" part of the event was interacting with young people like Jagdish who could help India bridge the digital divide and enable the country to "realize its potential to become a creator of intellectual capital".

At the other end of the subcontinent, in southern India, hundreds of thousands of young men and women have made their city, Bangalore, a name to reckon with in information technology. No longer are they derogatorily described as "cyber-coolies" doing low-end work for a pittance but are being called "knowledge workers" who ensure that computer software exports continue to grow at a rate of 30% a year - such exports are expected to comprise more than a third of the country's total exports within two years.

India is often characterized as a country of contradictions, which is exemplified by the fact that it entered the new millennium with nearly one-third of the world's computer software engineers and a quarter of the world's undernourished. While there are 12 phones and 10 TV sets for every 100 Indians, the total number of people with personal computers in the country is less than 2% in a population of over a billion.

According to one estimate, the size of the IT sector, which curently accounts for 1% of India's gross domestic product, could rise to 10% of GDP by 2008. At the same time, the benefits of IT have reached only a minuscule portion of the country's population, which has resulted in a yawning digital divide. Although the number of Internet users is growing by 40-50% a year, the total number of Indians who have accessed the Internet is less than 5% of the total population.

The number of mobile telephones in India has doubled over the last two years, crossing the 100 million mark in July, and the government believes 250 million mobiles will be in use within two years. Although cellular and long-distance calls in India were among the most expensive in the world until as recently as 1994, current rates are the lowest in the world.

But the digital divide is still evident. Against more than four phones for every 10 citizens in cities such as Delhi, Mumbai and Chennai, there are entire provinces in eastern and central India - Bihar, Jharkhand, Chhattisgarh, Orissa and Assam - where there are fewer than two phones for every 100 residents.

"The most important change taking place is that the computer software industry in India has begun looking inwards," said Kapil Dev Singh, country manager for IDC (India), which is the local affiliate of the international market research organization International Data Group. He said that as more and more Indian companies compete globally, "the domestic markets for IT and IT-enabled services are coming of age".

Singh emphasizes the fact that India is slowly but surely becoming a manufacturing base for not just computer software but hardware as well. Among various multinational corporations, Intel and Nokia have recently announced major investments in India to manufacture silicon chips and mobile communication devices.

"What is noteworthy is that international companies are making products that are specifically suited to Indian conditions - thus, there are mobile phones designed to be used by a truck driver with grease on his hands, computers that run on car batteries and rugged laptops that can function well in a dusty and hot environment," said Singh.

"The interesting paradox is that while Indian IT companies are still focused on the world market, international companies are looking at the Indian market," said Pradeep Gupta, chairman and managing director of Cyber Media (India), the country's largest publisher of IT periodicals. "New technologies have ensured that instead of people [migrating], work has migrated from high-cost economies to low-cost economies."

IT-enabled services or business process outsourcing has employed many young Indians not only in Bangalore, but in cities such as Gurgaon (on the outskirts of the capital city of New Delhi), Hyderabad (in the southern state of Andhra Pradesh), Chennai (also in the south) and Kolkata (in the east). "The IT industry is rapidly spreading spatially and is now moving to smaller towns," said Singh.

The spread of IT across urban India is creating its own set of concerns. Indians adopt American names and learn to add a twang to their speech while working at call centers. At least one novel has been written about how lifestyles of young Indians who work in such organizations have changed dramatically, while a film has been released with the apt title of American Daylight - a reference to the fact that the roughly 12-hour time difference between India and the US makes it necessary for call center employees to stay up through the night.

Roughly two-thirds of the Indian population is below the age of 30, so most IT companies agressively target young people. "The real challenge is to blend the impatience and the enthusiasm of [young people] with the experience and wisdom of the graying," said Gupta.

Sanjay Behl, who heads branding and marketing at Reliance Infocomm, a major provider of mobile phone services, said: "I see technology influencing the lives of millions of Indians living in rural areas. This is the era of digital marketing, an era that will witness dramatic changes in the way computers change the lives of people in this country and all over the world."

India remains a nation of amazing contrasts and inequalities. One small section lives in air-conditioned comfort and shop in glitzy malls where products from all over the world are available. Major Indian companies such as the Tatas and Birlas now pay their top employees salaries that average US$1 million per annum.

However, at least one out of four Indians live below the internationally defined poverty line, spending less than $1 a day and one out of three cannot read or write their own names. Bridging the digital divide in such a polarized society is going to be a daunting task.

(Inter Press Service)


India's Internet-preneurs (Aug 23, '06)

China's communications grow by nearly 25% (Aug 8, '06)

Bright outlook for India's IT industry  (July 26, '06)

 
 



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