Budget 2011: End to IT’s carefree ride: What it means for new economy

PCs Likely to Cost More

The levy of 5% exciseduty on microprocessors as well as DVD writers is likely to make PCs costlier. AMD said that instability in policy is not good for the industry. Intel says it’s still reading the fine print, but a marginal price rise may be imminent.

Sops on Mobile Phone Parts to Continue

No hike in customs duty of 5% on mobile phone parts, as was widely expected, will give local manufacturers some relief. Full exemption from special additional customs duty on handset components and accessories will help lower costs marginally.

Nokia to Increase Prices Marginally

Phone maker Nokia is expected to pass on the 1% increase in central excise to customers, but other phone makers say it is too small a number and are not expected to do anything. Nokia phones may cost Rs 100-200 more.

Push for Rural Broadband, but will it Work?

Rural broadband has got a big push, but earlier efforts have not clicked. The government planned to set up 2,50,000 citizen service centres in villages to drive e-governance. Many of the one lakh CSCs that were set up have shut down, raising questions about the model.