Comment by prayag | Hacker News Reader

Comment by prayag | Hacker News Reader

I submitted the same story in one page here yesterday http://news.ycombinator.com/item?id=2735814 , funny how things work here.

Having said that, this is a great read. What worries me about India is that we are producing a generation whose sole competency is in answering phone calls and faking who they are and the only selling point is that they are cheaper labor than the western workers. This isn't a sustainable in longer term. We are bound to find labor markets that are cheaper (we already are) or business processes that are more efficient (we already are). For a sustained development India needs to ramp up her infrastructure and invest in her people in a way which produces value rather than ups elling her people cheaply. Outsourcing should just be a stepping stone to industries that are more valuable.

Remember, the whole IT/BPO industry of India makes up just 5% of Indian GDP and it has directly employed just 2-3 million people. Most of the hype surrounding it has been created by the clueless western media - "OMG, India is eating our jobs".

India has achieved great strides in other industries in recent years (steel, coal, automobile, textile, agriculture, crafts, jewellery etc.) which should be highlighted and encouraged. Enough of this call-center nonsense.

5% of world's 10 largest GDP is huge. At 5% of 1.5 Trillion dollars its about 250 Billion US Dollars. Also, the growth in BPO is also much more significant than the regular industries.

In any case, it is hardly insignificant (or nonsense).

Where did that $250 billion come from? Typo?

The Indian IT industry is worth $60-75 billion at present. Remember, it's the whole IT industry. BPO sector hardly touches even $20 billion. Given its value, the hype it has earned for more than a decade is ridiculous and unjustified.

Yea.. Sorry about 70 Billion. My bad. That's a valid argument to make. But given the growth that the BPO industry has seen and given the industry employs mostly young people. I think its still important to consider its cultural impact.

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