Wednesday, August 27, 2008

Efforts to woo IT firms showing results

Efforts to woo IT firms showing results

Girish Pattanashetti - The Hindu

Of the 1.72 lakh sq ft of space in the IT Park in Hubli, 95,000 sq ft has been rented out


IT Park was inaugurated on September 19, 2002

Space available at a reduced price of Rs. 9 per sq ft



Promoting IT: A view of the Information Technology Park in Hubli.

HUBLI: Efforts made to attract IT and ITES companies to the Information Technology (IT) Park here, which was launched six years ago, are showing results.

Of the 1.72 lakh sq ft of space at the park, 95,000 sq ft has been rented out. Companies have occupied 75,000 sq ft.

The Manager of Karnataka State Electronics Development Corporation Limited (KEONICS), H. Devanand, who is in-charge of the park, told The Hindu that 26,000 sq ft of space had been rented by various IT and ITES companies from Hubli and Bangalore since past month. This was an encouraging sign, he said.

Augen Technology Software Solutions, Bangalore, had rented out 16,000 sq. ft, followed by Viz-tek BPO Solutions Private Limited (4,000 sq ft), Intense Software Solutions (India) Private Limited of Hubli (3,000 sq ft), Akshateck Solutions Private Limited of Bangalore (2,500 sq ft) and Squteck Private Limited of Hubli (400 sq ft), he said.

In touch

“We have been in touch with the companies which had evinced interest in the park during the IT Investors’ Meet held here two years ago. Our follow up efforts are finally getting results,” Mr. Devanand said.

The park was inaugurated on September 19, 2002, by the then Union Minister for Information Technology Pramod Mahajan. However, contrary to the hype surrounding its inauguration, the park remained a showpiece with major companies reluctant to open shop there.

In the first four years, only Tata Tele Services and RMS Technologies set up their units at the park and 1.6 lakh sq ft of space remained unutilised.

Though a state of the art campus of International Institute of Information Technology (IIIT-B) was set up at the park at a cost of Rs. 2.5 crore, it was not utilised.

In August 2004, M.K. Shankarlinge Gowda, the then Secretary to the Government, Department of Information Technology and Biotechnology, held a meeting in Hubli with representatives of educational institutions, the chamber of commerce and some engineers owning software firms on the steps to be taken to breathe life into the park.

But that did not bring any change.

“Destination Hubli” held in Bangalore in 2004 did not attract IT companies to Hubli.

In 2006, the district administration organised “IT Investors’ Meet” in Hubli and the Government announced a reduction in the park rent to woo software companies to Hubli.

The meet succeeded in attracting IT and ITES companies to the twin cities, which wanted separate land for establishing their units.

Though the participants visited the park and seemed impressed by the facilities, they did not respond.

And now, persistent follow up work seems to have resulted in companies coming to the park.

Perhaps, one of the reasons for the IT companies coming here now is the recent listing of Hubli as one of the top 50 cities in the country with a potential of becoming IT destination, by NASSCOM.

Report

“There are chances that the report might have made some impact and naturally it is likely to influence other companies,” Mr. Devanand said.

Space is available at the park at a reduced price of Rs. 9 per sq ft for companies registered with STPI, which rent a minimum space of 2,500 sq ft.

For other IT companies, it ranges between Rs. 16 and 20 per sq ft depending on the space availability on the ground floor or on other floors.

Meanwhile, after remaining inactive for four-and-a-half years, the International Institute of Information Technology Hubli-Dharwad (IIIT-HD) has become functional with the launching of two finishing school programmes by IIIT-Bangalore.

The two programmes are being offered to students of north Karnataka.