IT still sunrise sector, needs infra: Infy COO Shibulal
Tech sector is very much a sunrise sector and needs all the infrastructure investment it can get, feels Infosys COO SD Shibulal.
By Joe A Scaria, ET Bureau |
THIRUVANANTHAPURAM: Doomsayers predicting a sunset for the IT sector have a strong riposte coming their way: Rather than being a declining industry, the tech sector is very much a sunrise sector and needs all the infrastructure investment it can get, feels Infosys COO SD Shibulal.
���Even today, IT is a sunrise sector, and it is necessary to invest in talent building and infrastructure development with the future in mind���, Mr Shibulal said, pointing out that all indications were that the sector would continue to grow in double digits in the coming years.
���Over the initial 15 years or so, the IT sector grew at roughly 30%, and it still looks like going to grow at 10% or so. Don���t forget that the base is much larger now and that the 10% today compares favourably with the 30% of the past years. It is a case of the absolutes being forgotten���, Mr Shibulal told ET.
Pointing out the unique strength of the industry in contributing to the economy and society as a whole, he said the tech sector showed linearity between revenues and employment generation. ���When the revenues grow 10% in the IT sector, it is often achieved with a comparable growth in employment, showing a strong linearity between earnings and employment���, he said.
Mr Shibulal said the IT sector presently employed about 2.2 million, and that the secondary employment provided by the sector would amount to roughly four times that figure, making it a leading employer across all sectors.
Emphasising the need for physical and social infrastructure that had to be put in place for the tech sector to show continued progress in the country, he said education infrastructure was among the key ingredients that had to be given special attention.
Mr Shibulal said the employability of qualified candidates was still suspect to a large extent and that unless ���experiential learning��� came into play, the output from educational institutions could continue to remain suspect in terms of quality, adding that soft skills and inter-cultural sensitivity had be given their due emphasis in education.
���Even today, IT is a sunrise sector, and it is necessary to invest in talent building and infrastructure development with the future in mind���, Mr Shibulal said, pointing out that all indications were that the sector would continue to grow in double digits in the coming years.
���Over the initial 15 years or so, the IT sector grew at roughly 30%, and it still looks like going to grow at 10% or so. Don���t forget that the base is much larger now and that the 10% today compares favourably with the 30% of the past years. It is a case of the absolutes being forgotten���, Mr Shibulal told ET.
Pointing out the unique strength of the industry in contributing to the economy and society as a whole, he said the tech sector showed linearity between revenues and employment generation. ���When the revenues grow 10% in the IT sector, it is often achieved with a comparable growth in employment, showing a strong linearity between earnings and employment���, he said.
Mr Shibulal said the IT sector presently employed about 2.2 million, and that the secondary employment provided by the sector would amount to roughly four times that figure, making it a leading employer across all sectors.
Emphasising the need for physical and social infrastructure that had to be put in place for the tech sector to show continued progress in the country, he said education infrastructure was among the key ingredients that had to be given special attention.
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Mr Shibulal said the employability of qualified candidates was still suspect to a large extent and that unless ���experiential learning��� came into play, the output from educational institutions could continue to remain suspect in terms of quality, adding that soft skills and inter-cultural sensitivity had be given their due emphasis in education.
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