By Ashok Chandak, Sr. Director-Global Sales & Marketing, NXP Semiconductors
Headquartered in the U.S., NXP Semiconductors creates solutions that enable tosecure connections for a smarter world, driven by four mega trends that are helping shape our society: Energy Efficiency, Connected Devices, Security and Health.
In past five years, the Indian economy has seen the new and booming revolution of start-ups. They are gaining high momentum and their numbers are only increasing day by day, so much so that India ranks third in the total number of start-ups globally, after UK and the U.S. The total funding in the India based start-ups was estimated to be nearly $5 billion by 2015 according to NASSCOM and Zinnov, which went on to be $1.5 billion in just the first quarter this year.
Initiatives like Start-up India coupled with campaigns like Make in India, Digital India and Skill India are playing a significant role in helping boost entrepreneurship in the country. With exponential growth in number of private equity, venture capitalists, angel investors along with a 125 per cent growth in funding over last year, and Indian start-up ecosystem has risen to the next level.
The fact that the ecosystem for start-ups and developers is brewing in the time when the country is undergoing a digital revolution, calls out the potential markets which are to be generated in times to come. The tech driven generation is always on its feet coming up with new ideas and this digital revolution is acting as a catalyst in bringing these ideas into market.
We believe the next era of start-up revolution lies with the innovation in the IoT and smart city domain. Although there is immense interest from the investors’ community, however hardware base emerges as the biggest challenge for the startups. This is not because of lack innovative thought process but due to the enormous time consumption to create such hardware layers hence delaying their go-to-market timeline.
In the process of developing such hardware, the startups tends divert from their innovative idea and also, sometime lose out on the market and time advantage. Hence, the tech entrepreneurs need to start adopting the open source platforms that offers them the advantage of reference-hardware but also provides enables them with a bouquet of software. Such module has become successful in the western market and today, India need to rethink about their product innovation strategy by stitching the reference hardware with relevant software from open source platform. This will allow the entrepreneurs to focus on the idea. Moreover, such modules enable even a layman, without complex technology knowledge, to work on an idea which was never the case earlier.
According to a report by Cisco, by 2020, more than 50 billion intelligent devices are expected to connect to and exchange information over the Internet. Through open source, developer communities can overcome challenges in product creation pertaining to the IoT space. Not only it will bring down cost of products and services, but also help the start-ups to continue with product innovation on the existing platform. Also, open source allows collaborative environment suited for co-creation that helps the entrepreneurs to maintain their competitive edge in the complex technological landscape.
The Department of Electronics & Information Technology (DeitY), in its draft policy, targets to transform the IoT industry in India into a $15 billion opportunity by 2020. This has definitely opened up immense potential for the entrepreneurs and they need to respond quickly with their innovation that would make the nation smarter in the long run.
There is no doubt that government’s Make in India initiative has created huge waves across the world. However, India’s GDP can only be impacted if the country focuses on high-value creation. Hence, the start-ups are going to be most dependable bunch that can drive the ‘Innovation’ factor in ‘Make in India’. Therefore, for ‘Make in India’ to enable ‘Innovate in India’ through ‘Digital India’, the ‘Startup India’ needs to ‘Standup’ for driving the nation to a stronger economic future.