Home >Industry >Infotech >Startups should focus on building institutions not just valuations: PM Modi

NEW DELHI: Indian startup founders should focus on building lasting institutions instead of limiting themselves to valuations and exit strategies, Prime Minister Narendra Modi said on Wednesday.

"Think how you can create world class products that will set the global benchmark on excellence," said Modi.

Also Read | Life lessons from Covidian era startups

Modi, speaking at the Nasscom Technology and Leadership Forum (NTLF), lauded the domestic IT industry's achievements amid disruptions wrecked by the coronavirus pandemic. "When the chips were down, your code kept the world running."

"India will reach 75 years of independence this year and as we begin the journey from 75-100 years, the IT Industry in India should focus on bolder aspirations, leadership and contribution to the country..we need to work towards this.. set goals and we are with you," PM Modi said.

He praised the IT industry for growing at 2.3% year-on-year, led by rapid acceleration in digital transformation and tech adoption, adding revenue of $4 billion, at a time when global output shrunk because of the pandemic. Not only that, the industry created jobs, which he said was a strong pillar for India's development.

Over 1,38,000 net new hires will likely be added to the industry in 2020-21, taking the total employee base to 4.47 million, according to Nasscom data.

The prime minister congratulated the tech sector in helping companies tackle the digital challenge, allowing employees to work from home during the pandemic. Currently, 90% of IT sector employees are working from home.

The government is making efforts to deregulate the tech industry and free it from unnecessary restrictions to help it grow, the prime minister said, adding that initiatives like Digital India will accelerate digitalisation of India. "Digital technology is now part of the government, we have democratised data and even last mile service delivery also worked upon."

He said tech solutions should encompass all sectors and focus on mass adoption and greater good.

"India is not short of ideas, it needs mentors who can help turn ideas into reality," he said.

The PM emphasised that the industry must focus on smaller towns and cities, along with metros, to achieve overall growth.

Nasscom chairman UB Pravin Rao said,"Technology will remain the brahamastra for India's growth and we will leverage technology to drive innovation and help India become a global power."

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