Amaravathi (Andhra Pradesh) [India], November 21 : Andhra Pradesh Minister for Information Technology and Electronics Nara Lokesh on Thursday announced in the State Assembly that Tata Consultancy Services (TCS) is setting up its unit in Visakhapatnam (Vizag ) very soon.
"In the past five months, I had discussions with representatives of various IT companies which resulted in the Tata Consultancy Services (TCS) setting up its unit in Visakhapatnam very soon. The company also agreed to set up a campus in Vizag. I also requested Infosys to set up another campus. We are now in search of necessary land for them and I am confident that within six months they will take off," Nara Lokesh said in the Assembly.
Replying to the questions raised in the Assembly by the members, Vamsi Krishna, Srinivas, Ganta Srinivasa Rao, Vishnukumar Raju and Eswara Rao, the IT Minister said that Chandrababu Naidu, who was the Chief Minister of the previous TDP regime too, moved ahead with the slogan of 'one capital and decentralisation of development'. As part of this, he made every effort for the progress of the IT sector in Visakhapatnam, Lokesh told the Assembly.
He said that it is really gratifying that of the total employees in the entire IT sector across the globe, 20 per cent are Telugu.
He said that at least 150 companies were set up in the State between 2014 and 2019, providing jobs to 50,000 youth. "We have even entered into an agreement then with the industrialist, Mr Adani, to establish a data centre in the State and have organised a conclave in Vizag with several IT giants," Nara Lokesh said.
At a time when the IT industry was moving much further, there was a sudden halt due to the policies adopted by the previous government, he said. Perhaps for the first time in the history of the country, the government had demanded shares in IT companies following which units like NICSI and STBI have left the State as a result of which the youth lost employment opportunities, Lokesh said.
"In the past five months, I had discussions with representatives of various IT companies which resulted in the Tata Consultancy Services (TCS) setting up its unit in Visakhapatnam very soon. The company also agreed to set up a campus in Vizag. I also requested Infosys to set up another campus. We are now in search of necessary land for them and I am confident that within six months they will take off," Lokesh declared.
Maintaining that the State Government is functioning with a target of providing five lakh jobs in five years in the IT sector, Nara Lokesh felt the need to create the ecosystem necessary for IT companies. Recalling that he has held discussions with owners of various Data centres during his recent visit to the United States, the IT Minister said that since the previous government did not focus on setting up data centres they moved to neighbouring States like Karnataka and Telangana besides Mumbai.
At least $300 billion will be invested in this sector per annum, Lokesdh said and stated that of this his target is to attract at least $100 billion to the State. The data centre owners had raised several issues during discussions like data security and taxation, he said, adding that now talks are on to resolve these issues.
Lokesh informed the House that the Bhogapuram airport works are moving at a fast pace and the biggest convention centre in the country which is part of the social ecosystem is going to be established in Visakhapatnam very soon. He also felt the need for more and more hotels along with such companies.
Expressing confidence that the discussions that he held with the top 100 IT companies in the country will be fruitful, Mr Lokesh said that these companies also will be invited to Vizag. He also stressed the need for a new policy for setting up global delivery centers of Fortune 500 companies which is likely to be adopted next month.
Lokesh admitted that payment of incentives to certain companies is due and announced that Rs 500 cr has been released recently for the purpose. Maintaining that now the focus is on 'Speed of Doing Business', Lokesh said that the issue of granting permissions to the IT companies is being closely monitored. Reliance BioEnergy company has come forward to establish its unit with 700 unit capacity, Lokesh said and expressed his readiness to discuss with any company if the members bring any such proposals.
At least two data companies are going to set up their units in Visakhapatnam in a couple of months, Nara Lokesh said and stated that efforts are on to get NICSI to Vizag. The IT Minister felt that if a national-level data policy is adopted data companies will certainly come to the State with massive investments.