Signs Of Growth Seen In Web 2.0 Development In India

Last month, the world registered a rather noticeable rumbling made at a technology conference in Bangalore. A rumbling having to do with the development of India?s own silicon-based industry. A rumbling in the way of a collective challenge posed by influentials in attendance at the gathering.

The challenge was a simple one, but no doubt momentous, too. It was, in effect, to spur technological growth in cities and towns all over India from a current point of $1bn gross revenue to one generating $15bn or more ? by 2015. That?s less than 10 years from now. Just north of seven, actually. And here India is today, still largely a developing nation, with a great percentage of its population thoroughly within the grip of poverty. How to achieve such a seemingly overambitious goal? Is it sensible to so much as contemplate?

In a piece published here at Profy in November, I argued yes, that $15bn could be reached. That with persistence, such exponential growth was a feasible prospect. Indeed, the country would see many cards stacked against its favor, but if the ingredients for success continue to be cultivated at continually increasing rates - as one could argue is currently the case today ? the ?dream? could become reality. Perhaps even by the time the deadline arrives.

If one looks at the state of the tech space in India at present, one can certainly see room for improvement. While the gears of the industry turn, they do so quite roughly. The country is a quite a ways off from ideal synchronicity, for sure.

But developers are developing with ever more vigor, and are tuning their talents day in and day out to establish rather crafty services and utilities. Already, some are turning out to be rather impressive inventions. Nandini Lakshman of BusinessWeek magazine published a story several days ago on the status of the Indian startup sector, and recognized a good deal of activity in the area of Web 2.0 especially. Companies are now regularly found to be launching new Internet services, many tinged with social components, which they hope to become competition for global giants like Google (Orkut) and Facebook and MySpace. And instead of constructing out-and-out duplicates, they emphasize their unique homegrown origins and even help to spur business ? virtual or otherwise ? whilst connecting friends and family members all across India ? and the world.

Some such successful enterprises almost immediately push themselves to the surface. Global recognition has already been bestowed on operations like Bigadda.com and Yarri.com. (Both titles, respectively, mean ?community? and ?friends? in Hindi.) And as more citizens of Bangalore, Mumbai and metropolitan regions elsewhere jump online ? the nation counts one-billion-plus residents ? the industry expects to see dozens, even hundreds more Web businesses crop up in the next few years. (By 2010, Nasscom, a ?software industry association group?, predicts the total Indian Internet usership to reach the 100 million mark. Today, it tallies 40 million networked citizens.)

And hey, want to hear a nifty story? A site called Desimartini.com launched roughly one year ago. Begun by a 26-year-old graduate of Hyderabad?s Indian Business School, it started as a $76,000 creation. (Full disclosure: the infusion was given by the entrepreneur?s father.) Having amassed a usership shy of 1m in ten months (short of its creator?s original goal), it was quickly sold ? to none other than the Hindustan Times Media company. The agreed figure: $10 million.

Sure, the acquisition now languishes at a seemingly paltry 250,000 subscribers, and is now purported to be used as a platform for growing its new owner?s online gaming and classified advertisement businesses, which makes Mr Vivek Pahwa, its architect, something of a Mark Cuban of Indian upbringing. But it just goes to show that the type of things you?d ordinarily thing part of the Silicon Valley narrative are in fact presenting themselves thousands of miles away as well.

Just some food for thought when considering the potential of India as we head to 2010 and beyond.