Software industry in Telangana



The Indian state of Telangana has a 31% share of software export in India. While the majority of the industry is concentrated in Hyderabad, other cities are also becoming significant IT destinations in the state. Hyderabad houses the largest campuses of tech giants like Google, Facebook, Microsoft, Amazon, and Apple outside of the US. In Hyderabad, the central region of the business happens in Financial District, HITECH City, the Madhapur suburb , Kokapet SEZ (Neopolis) and Salarpuria Sattva Knowledge City. As of 2023, Hyderabad has 9,05,715 employees in the IT/ITES sector, working in more than 1500 companies. The number of startups in Telangana had increased from 400 in 2016 to 2,000 in 2022. Hyderabad added two companies in unicorn startup list in first two months of 2022.

The IT exports from Hyderabad (Telangana) stood second in India at ₹2,41,275 crore (US$ 32 billion) in FY 2022-23 improving from previous year. IT sector exports from Telangana account for 50 per cent of total exports from state. Telangana contributed to 16.77 per cent of Indian IT sector employment as of FY 2023.

History
The first IT tower in Hyderabad was established by the name Intergraph in Begumpet in 1986. The initiation of this Software Industry in Hyderabad was done by N. Chandrababu Naidu in 1995. HITEC City, nicknamed Cyberabad, was set up with the collaboration of Larsen & Toubro. N. Chandrababu Naidu developed a slogan of "Bye Bye Bangalore" and "Hello Hyderabad" during his tenure and worked hard to bring International companies like Microsoft, CA Technologies, Deloitte and went to create Vision 2020. Naidu persuaded Bill Gates to set up a Microsoft development center in Hyderabad, the center at that time, becoming Microsoft's only development center outside the USA. Naidu also worked hard to bring biotechnology companies to Hyderabad, he developed Genome Valley a high-end technology park commissioned in 1999 as S. P. Biotech Park in a public-private partnership with Bharat Biotech International, and its founder Krishna Ella, alongside private infrastructure companies such as Shapoorji Pallonji Group and ICICI Bank. N. Chandrababu Naidu during his tenure to create master plan for International airport, Outer ring road. D. E. Shaw & Co. was the first multinational company to open its office in Hyderabad in 1996.

Financial District
Financial District is an IT, real estate and architectural suburb, spread across Nanakramguda and Gachibowli, Hyderabad. WaveRock is a 2.5 million square feet (sqft) Information Technology-Special Economic Zone (IT-SEZ) in Nanakramguda spread over 12 acres (approx). WaveRock SEZ houses over 25 IT companies including marquee clients such as Apple, GAP, Accenture, Development Bank of Singapore, DuPont among others, and has close to 25,000 to 30,000 employees working out of the premises. In December 2019, WaveRock was bought by the Shapoorji Pallonji Real Estate Fund (SPREF II) for Rs 1,800 crore from Tishman Speyer.

HITEC City
The IT industry initiative of Congress government started by N. Janardhana Reddy and continued by N. Chandrababu Naidu setting up Larsen & Toubro with policy maker APIIC built a special economic zone called Hyderabad Information Technology Engineering Consultancy City or simply HITEC City. It started the era of Software & IT in Hyderabad.

Salarpuria Sattva Knowledge City
Salarpuria Sattva Knowledge City is a 7.5 million sft IT park spread across 30 acres and 5 megatowers. It is home to global behemoths like JP Morgan, Intel, Microsoft, Goldman Sachs, Novartis Healthcare, Synchrony Financial, AMD and KPMG. The Bengaluru-based builder, Salarpuria Sattva partnered with Blackstone recently to develop a 7 million sq ft IT park in Hyderabad.

IT Industry in Districts
In February 2016, Telangana Information Technology, Electronics and Communications Minister K. T. Rama Rao laid the foundation stone for IT incubation centre at Madikonda, Warangal. In January 2020, two major companies namely Tech Mahindra and Cyient have inaugurated their campuses employing about 2,000 people. Softpath, Quadrant started their operations in the Warangal IT Tower/Incubation Centre.

Outside of Warangal, the state has set up similar IT Hubs in Tier-2 Towns and Cities like Khammam, Karimnagar, Adilabad,Ramagundam,Mahabubnagar, Nizamabad, Nalgonda, Siddipet, and Suryapet.

AI-Based Pharma Healthcare IT Hub
At the 73rd Indian Pharmaceutical Congress, D. Sridhar Babu, Minister for IT along with Deputy Chief Minister, Mallu Bhatti Vikramarka and Pulsus Group CEO Gedela Srinubabu, launched the creation of an AI-based pharma healthcare IT hub. This initiative aims to develop AI-based skills and generate 10,000 direct jobs and 40,000 indirect jobs in Telangana.