Expectations are high in the IT sector as India gets ready to release its budget for 2024. Leaders in a range of industries, including wearables, semiconductors, gaming, and artificial intelligence, have expressed their expectations and suggestions for the government's budgetary plans.
JetSynthesys' founder and CEO, Rajan Navani: In addition to stressing the value of government support for the video game and esports industries, Navani calls for programmes that develop talent in areas such as product, design, engineering, UI/UX, 3D art, and AR/VR. He advocates for incentives to support entrepreneurship and job prospects, arguing that the industry should be seen as an IP and product-led sector rather than solely service-oriented. To enhance India's standing in the world of video games, Navani also advocates for quickening AI-related educational activities.
"India has stood resilient, witnessing growth across various sectors even amidst a global recession," Navani stated. One of the sectors with the quickest growth at the time was the video game and esports industry. We also anticipate that the government will continue to support the programmes that have set the groundwork for this accomplishment as the interim budget draws near. Given the potential of the video game industry, we implore the government to concentrate on developing talent by offering incentives for developing skills in a variety of video game-related fields, such as improving design and product. The curriculum incorporates UI/UX and engineering, 3D art, AR/VR abilities, and supports the start of cooperative projects with academic institutions. This will not only develop a competent labor force but also establish India as a worldwide center for gaming knowledge.
BOULT's co-founder Varun Gupta: Gupta expects legislative changes such as lower electronics GST rates and startup tax breaks. He draws attention to the necessity of laws that encourage startup businesses and address Production Linked Incentives in industries other than smartphones.
"With the upcoming budget, we're definitely heading towards a breakthrough," stated Gupta, "India's tech landscape is primed for monumental growth." We expect significant governmental changes, such lowering the GST rates on electronics, which will not only stoke the industry's flames but also lower the barrier to entry for the general public for technology. While prolonged tax discounts for firms like ours are essential for fostering early stage entrepreneurship, tax incentives for angel investors have the power to spark a breakthrough in innovation.
The Institution of Engineering and Technology's Dr. Gopichand Katragadda emphasizes the need for improved financing and legislation to assist India's startup ecosystem for technology. He lists certain fields for research and development investment, such as AI in defense, sustainable public transportation, and health technology for remote places. In order to support India's tech leadership, he also emphasizes the necessity of making strategic investments in the semiconductor ecosystem and manufacturing in addition to streamlining corporate procedures.
"We must expedite our technological development through improved policies, increased funding, and ease of doing business," stated Katragadda. India needs more support for its thriving tech startup scene, which is evidence of its inventive nature. Similar to programmes like IDEX and DISC, dedicated R&D funding for entrepreneurs are praiseworthy, but they must be strengthened with improved cash distribution transparency and observable results.
SatNav's founder and CEO, Amit Prasad: According to Prasad, the budget would place a strong emphasis on supporting innovation clusters, R&D incentives, and digital infrastructure. He emphasizes the necessity of increased financing for IoT, 5G, AI, cybersecurity, and IoT technologies in addition to updated tax laws to promote IT exports.
According to Prasad, the IT industry anticipates that the 2024 Union Budget would place a strong emphasis on investments in digital infrastructure and offer incentives for talent development, research, and the development of innovation hubs. Expectations include increased financing for cybersecurity, support for emerging technologies like AI, IoT, and 5G, and changes to tax laws to encourage IT exports. More emphasis on programmes pertaining to digital education and streamlined restrictions for new businesses are also anticipated.
IESA Chairperson Sanjay Gupta: Gupta demands concentrated assistance in lowering the primary obstacles to entrance in the semiconductor sector, such as the high expenses of labor, EDA, fabrication, and validation. In order to increase this industry's competitiveness worldwide, he supports giving risk financing to companies in this field.
According to Gupta, this year should usher in the next stage of expansion for the Indian semiconductor industry, with an emphasis on enabling the unrealized potential of local business owners who are enthusiastic about the semiconductor and embedded ESDM sectors. High personnel costs, high EDA costs, high fabrication costs, and high validation costs are their four main entry hurdles.
