Rise of Bangalore as a high-tech hub reasons and a future perspective

Abstract

Over the last twenty years Bangalore has become a very important location of the IT industry and other high-tech sectors. The city is a worldwide symbol of globalization, empowered through many companies outsourcing their services to it. The recent years have indicated that India is not just capable of executing multinationals outsourcing but also a place where innovations are initiated and Bangalore has a leading role in this area. Looking at the current situation of Bangalore the following questions for its reasons come up: To which extent do politics contribute to this success? What about the cost-performance-ratio? Are Indian computer scientists equipped with special skills and if yes, where do they add value to the client s company? Which role does Bangalore s location play? Has the structure of the high-tech hub a deep impact on its efficiency? As Bangalore was not the only gainer of the IT boom in India, we dissected two upcoming competitive cities, Hyderabad and Pune, to analyse their IT sector and to deduce potentials and options for the future. In this study these reasons for Bangalore s outrageous development throughout the last years were analyzed, challenges were accentuated and various strategies for Bangalore to successfully retain a competitive hub in the future mapped out.