'Internet of Things' to be next driver of IT industry: Murthy

JAIPUR: In coming years, IT industry is going to get a major fillip from the Internet of Things, and India is well positioned to capture the opportunities, said Infosys co-founder N R Narayana Murthy here on Monday.
"Going forward, opportunities for Internet of Things (IoT) will take off. Because, we are combining internet with factories, vehicles, home appliances, etc today.This will create a considerable number of opportunities for entrepreneurs to bring the power of internet to our lives," said Murthy while addressing a gathering of entrepreneurs at the TiE Global winter retreat.
Expressing skepticism about big data analytics creating large scale opportunities, Murthy said thanks to the miniaturization of computing power, its reduced cost, and increased bandwidth, the future for IoT is very bright.
"After all, IoT is bringing mechanical, electrical, chemical, civil engineering and internet together. That's why I think we will be in a position to handle these requirements pretty well," added Murthy.
He, however, had a word of advice for Indian companies. "The primary problem is not with the entrepreneurs. It is with the mindset of Indian corporations. Unless our corporations are as prepared as their Western counterparts to capitalize on the advances in technology for creating competitive advantages, I don't think we will be in a position to offer edge to our entrepreneurs. I would say if you have a leading-edge technology idea, it is better to try it out first in the West than in India," added Murthy.
He said the developed markets have the advanced infrastructure and the surplus income where innovative ideas can find acceptance.
The Centre is set to announce a policy for startups this month. Murthy expects that the policy should aim to reduce frictions to businesses. "Even today, an entrepreneur is required to obtain so many approvals from various government departments for starting an office. In addition, the government should also make India very attractive place for venture capitalists by way of providing lucrative tax policies," he added.
Startups are often bootstrapped and look for ways to minimize their operating costs. Renting an office consumes big part of their capital. Murthy said, "Entrepreneurs, especially in tech space, are bound to be operating in major cities. They find it very difficult to get office spaces at affordable costs and therefore the government need to come out with a revised urban land utilization policy so that it becomes easier for them."