The development of the Information Technology (IT) sector in Visakhapatnam (Vizag), Andhra Pradesh is gaining significant momentum, driven by a confluence of factors, including major players like Infosys and TCS setting up their centres, delivering GCCs by home grown companies like Inspiredge and and a burgeoning start-up ecosystem.
As part of Swarna Andhra Vision 2047 and the recent IT & GCC Policy 2024-29, Andhra Pradesh is committed to fostering a culture of entrepreneurship, with the ambitious goal of “One Family, One Entrepreneur” by 2030 and prioritise Global Capability Centres.
As part of Swarna Andhra Vision 2047 and the recent IT & GCC Policy 2024-29, Andhra Pradesh is committed to fostering a culture of entrepreneurship, with the ambitious goal of “One Family, One Entrepreneur” by 2030 and prioritise Global Capability Centres.
Why Vizag is an IT Hub in the Making:
- Strategic Location & Infrastructure
Vizag’s strategic coastal location, excellent connectivity, and robust infrastructure make it an ideal destination for IT companies. The city boasts reliable power supply, high-speed internet, modern office spaces, and a low cost of living environment. Today a million sq feet of office space is available in a short span of time at Rushikonda overseeing the Scenic Bay of Bengal
- Talent Pool
Home to renowned educational institutions, Vizag possesses a large pool of highly skilled graduates sought after by IT and GCC companies. This talent pipeline is crucial for the growth of the IT sector
- Government Support
The Andhra Pradesh government is committed to fostering a thriving IT ecosystem. The recently launched IT and GCC Policy 4.0 aims to drive innovation, entrepreneurship, and employment within the sector. This policy emphasizes leveraging deep tech, AI, and our talented workforce to build a sustainable and inclusive digital economy
The presence of industry leaders like Infosys and TCS in Vizag serves as a significant catalyst for the city’s IT boom. Their establishment not only creates jobs and drives economic growth but also fosters a thriving IT ecosystem that attracts further investment and talent to the region. These IT giants are instrumental in strengthening Vizag’s position as an emerging IT hub, inspiring other companies to explore opportunities in the city
Attracting GCCs
Vizag is an ideal bedrock for GCCs to establish highly powered hybrid/remote facilities tailored to their specific needs and sizes. The State Government of Andhra Pradesh is committed to providing a comprehensive ecosystem that supports the growth and success of these entities.
For GCCs seeking to establish a presence in Vizag, a mere physical presence is no longer sufficient. These organizations are increasingly looking for comprehensive solutions that extend beyond real estate. This includes:
For GCCs seeking to establish a presence in Vizag, a mere physical presence is no longer sufficient. These organizations are increasingly looking for comprehensive solutions that extend beyond real estate. This includes:
- Skilled Talent Pools
Vizag is home to several renowned educational institutions, producing a steady stream of highly skilled graduates in engineering, computer science, and other IT-related fields. This readily available talent pool is a major draw for IT companies looking to set up operations in the city
- Robust Infrastructure
The city offers a robust infrastructure to support the needs of IT companies, including reliable power supply, high-speed internet connectivity, and modern office spaces along with modern data centres and supporting infrastructure, are crucial for the smooth functioning of GCCs
- Conducive Ecosystem
A supportive ecosystem that fosters innovation and collaboration, including incubators, accelerators, and networking events, is essential for attracting and retaining top talent
Inspiredge which is Vizag based IT service provider, has already demonstrated this potential by delivering a fully operational GCC recently, earning the prestigious “Rising Star in GCC as a Service” award at the Growth Stories Summit & Awards 2024 for their exceptional achievement
Challenges and Opportunities
While Vizag presents significant growth potential, certain challenges need to be addressed:
- Competition from Established Hubs
Vizag faces competition from established IT hubs like Hyderabad, Bengaluru, and Chennai, which have a more mature ecosystem and a larger talent pool
- Infrastructure Development
While progress is being made, further investments are needed to enhance infrastructure, including transportation, power, and water supply
- Talent Development
Continuous efforts are required to upskill the local workforce to meet the demands of emerging technologies such as AI, ML, and data analytics
The Future of IT in Vizag
Despite these challenges, Vizag is well-positioned to emerge as a major IT hub in India. By leveraging its strengths, addressing its challenges, and fostering a vibrant ecosystem, Vizag can attract leading IT companies, nurture innovation, and create a thriving technology-driven economy
With AP government’s focus to develop Vizag as the IT hub, Vizag is all set to play a crucial role in driving India’s technological advancement and economic growth
Author Details
Ram Kondapalli
GCC Leader | Operational Excellence | Ex-Deloitte
