Bangalore It industry growth

The Mecca of Start-ups – Few Insights into the growth of IT Industry in Bangalore

 Bangalore IT industry growth

Which is the one city that comes to your mind when you think about IT in India? No surprises there, it’s Bangalore. It is true that the entire Indian subcontinent has been touch by the IT boom. But, it is Bangalore that has been most active in embracing this technological revolution and its advances, becoming the IT hub of India. What most people don’t realize is that Bangalore as India’s IT hub is not surprising at all.

Over 35 years ago, it became one of the first Indian cities to set up industrial parks and gain the attention of global tech giants. With a competitive advantage over other cities right from the start, the Bangalore IT industry growth has been phenomenal. Having the most sophisticated IT bloc in the country, IT start-ups in Bangalore find themselves comfortably placed. Therefore, it is an amalgam of factors that make Bangalore not only the IT hub but also the start-up hub of India.

The IT Evolution of Bangalore

The IT journey of Bangalore began with tech giants making a decision to shift their headquarters to Bangalore. Given a chance to prove it worth in IT, the city left no stone unturned. Right from investing in IT education by adding computer science as a branch of the engineering degree, to setting up IT parks, the city made some real efforts. With the increase in the demand for software engineers over the period, Bangalore ensured a steady supply.

The electronic city that was set up as early as in the 1970s became the next stepping stone for Bangalore’s IT evolution, especially post liberalization. In addition to becoming an attractive investment area, the electronic city sought the development of major IT parks in Bangalore. As Bangalore provided the best environment for IT growth, it was no surprise that all tech firms, big or small, wanted to establish their plants there. The evolution of the IT industry in Bangalore has largely been due to the bureaucrats and IT leaders who utilized the latent potential of the country and invested in its future.

The conducive environment for start-ups in Bangalore

There are a plethora of factors that make Bangalore the ‘Silicon Valley of India.’ It is the place for new start-up companies to experiment with their business model for a variety of reasons-

  • Skilled professionals-

Firstly, Bangalore produces and houses a number of professionals that have exceptional technical acumen that start-ups need. Understanding the needs of the market, Bangalore IT professionals are well versed in data analytics, metrics, digital marketing, etc. Therefore, Bangalore offers an easy of recruitment to start-ups as such professionals identify the benefits of joining a start-up.

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  • Developed ecosystem-

Secondly, the success of numerous start-ups in the city, make it an aspiration for new businesses. Also, it is the founders of successful start-ups that have the most faith in new start-up companies. Therefore, Bangalore provides a developed ecosystem and supportive environment that the start-up economy demands.

  • Cosmopolitan culture-

Thirdly, the work culture and setting of start-ups in Bangalore is at par with the global start-ups. This ensures that investors from abroad view Bangalore as a level playing field carrying great potential for growth. Thus, a cosmopolitan culture ensures that Bangalore IT industry growth is as attractive as any other start-up hub in the world.

  • Creative energy-

Housing some of the most potent engineers of the country, Bangalore’s IT industry has a heavy flow of creative energy. As we know that a successful start-up begins with an extraordinary idea, Bangalore provides the inspiration and energy for such ideas. The entire city speaks the IT language and thus, exceptional ideas are not discarded but appreciated and developed into prototypes.

Why are other cities lagging behind?

Other metro cities like Mumbai, Delhi and Gurgaon are undoubtedly contributing well to the Indian economy. However, they do not seem particularly attractive to start-up companies due to several reasons-

  • Cost ineffectiveness-

Metro cities are often highly expensive when it comes to rentals, be it personal or commercial. It is a fact that start-ups do not have an inflow of funds as soon as they began. Therefore, paying roof high rentals in the initial stages is almost impossible.

  • The culture-

Work as well as personal culture, both are quite different in most metro cities than the ones conducive to a start-up ecosystem. Most cities are in a rat race and do not generally have the time start-ups require to get success. These cities expect quick turnaround and profits and despise long-term start-up investments. Similarly, such cities believe in a status culture, including big houses, fancy cars etc, which are not well suited for the entrepreneurship phase in start-ups.

  • The rigidity of thought-

Metro cities have come to function in a mechanistic fashion. Rarely does anyone talk about new ideas or fresh products, which is a prerequisite for start-ups. Therefore, a lack of the ability to think out of the box kills the start-up spirit in these states. Additionally, a lack of acceptance and negative attitude towards failures prevents experimentation and innovation.

Bangalore nurturing its start-ups

Start-up companies in Bangalore benefit from its conducive ecosystem and constant nurturing. IT start-ups in Bangalore receive some serious benefits that help them grow-

Fruitful Mentoring-

As the start-up hub of India, Bangalore ensures that at any given time mentors for start-ups are available in plenty. These are usually those who have made it big and are willing to pay it forward. These mentors help shape new business ideas and direct them towards the ladder of success.

Investors and incubators-

Start-ups often fail in other cities because of the lack of backing. Bangalore, on the other hand, has enough potent investors and incubation centres that are willing to invest in new ideas and start-ups.

Confident customer base-

Finally, start-ups get most confidence from the accepting customer base that is willing to experiment with new products. Such willingness renews new confidence amongst members of the start-up community that if they generate supply, there will be demand.

Why is outsourcing to Bangalore a good idea?

Also Read: What are the Benefits of Outsourcing to India?

Cost effective to high-quality services-

With an abundance of technically skilled professionals, outsourcing to Bangalore will ensure high-quality work. Additionally, the high number of professionals will ascertain a dip in the costs as compared to any other global IT hub.

A multiplicity of vendors-

As Bangalore grew, so did its vendors. Bangalore today has outsourcing vendors for almost every IT service. If you outsource to Bangalore, you don’t have to move around from city to city for different services. Bangalore provides a one-stop solution for all IT outsourcing needs. A diversity of services makes it particularly attractive.

Established reputation

Like it or not, Bangalore has a reputation that precedes its name. You cannot go wrong if you decide to outsource to Bangalore because of its comparative advantage and pro IT ecosystem.

In a nutshell, Bangalore IT industry growth industry has not only benefitted the city and the country but the world altogether.   Start-ups in Bangalore are blessed with an ecosystem that encourages them to grow. Therefore, if you have an idea for a start-up, you now know what your location of incubation and operation should be.


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