The Indian

Promise

2

Source: Zinnov Research and Analysis

USD 17 BillionEfficiency advantage

260KDirect Jobs

1MillionIndirect Jobs

906 MNCs have

an R&D presence in India

USD 26+ BillionRevenue Addition

229 of G500 R&D

spenders have centers in India

50 New MNCs have

set up centers in India since 2012

In the past decade, the MNC R&D ecosystem in India has grown exponentially and contributed

significantly in terms of operational and business impact to their HQ

Note: G500 refers to global 500 spenders

Making a Big Impact

3

Source: Zinnov Research and Analysis

1990 1995 2000 2005 2010 2014

16 47151

456

813906

Total number of MNC R&D companies with a presence in India

1158 ~176 MNCs have setup more than 1 R&D Center in India

MNC R&D Centers

Bangalore , Pune and Hyderabad, coined as the Deccan Triangle, have the largest concentration of R&D Centers Centers in the

Deccan Triangle

701

• One of China's biggest electronics companies that designs, develops, and sells smartphones, mobile apps, and consumer electronics

• A large enterprise resource planning software and retail solutions provider

• A large publicly traded international oil and gas company

MNCs expected to set up R&D Center in India in the near future

Global organizations continue to recognize India as a preferred destination for R&D with 50+

organizations setting up their R&D Centers in the last two years

4

Source: Zinnov Research and Analysis

A strong and vibrant ecosystem has enabled centers in India to identify synergies, collaborate and

develop solutions for both India and the globe

Vibrant Ecosystem

Innovation Fueled

• 277,000 strong installed talent

• 8% installed talent growth rate (CAGR)

• 300+ National Laboratories

• USD 26 Billion opportunity in FY2014-15 across different technology areas

• 350+ Service Providers

• 172K Installed Talent in Product

Engineering Services (PES) divisions of Service Providers

• Increase in Risk-Reward models for

higher levels of partner engagement

MNC R&D

Universities

• 4000+ technology startups

• 400 VCs & 2500 Angel Investors

• 150+ incubators

• Over US$ 100+ Bn total domestic IT Market by 2020

• Over 238 Mn internet users• Fastest growing smartphone

market in Asia

• 400+ Universities*

• ~960K Engineering Graduates

Start-ups

Vendors

Go

vern

me

nt

Market

*A university has multiple colleges under it

5

Source: Zinnov Research and Analysis

Breaking Barriers - Success Stories of India Centers

Some of the demonstrable wins by India centers include end to end product development, identification of

blue sky opportunities and establishment of technology competence

Building a Product End to End from India for Globe

• Human Body Model (HBM) – A mathematical model of real humans for simulation of road fatalities leading to safer car designs

Building a Product End to End from India for India

• The VNT DualBoostTurbo charger that helped in:

• Improved engine performance

• Fuel economy

• Responsiveness

• Low friction ball bearings

• Pedestal mounting

Owning P&L from India

• Adobe owns the complete P&L of a product

Innovation for India and Globe

• A cost effective next generation mobile wireless router that garnered customers from North America, Europe, Africa and Asia

Innovation through Incubation

• A dedicated team responsible for developing prototypes, patents out of the India Center and is sponsored by the CTO office

Building a CoE out of India

• Positioning for local markets & exploring emerging technology solutions with long range strategic targets

6

Source: Zinnov Research and Analysis

5.7% GDP Growth Apr-Jun - highest in nine quarters

Aim to lower fiscal deficit to 4.1% of GDP by Mar 2015

13% Rise in NCAER’s quarterly Business Confidence Index in June 2014

INR 7,060 crores allocated to build Smart Cities

1.5 crore bank accounts opened in 1 day

49% FDI limit in Defense and Insurance

14 IITs, IIMs and AIIMs to be setup

Modi’s 100-Day Impact

Digital India “IT( Information Technology) + IT ( Indian Talent) = IT (India of Tomorrow)”

India as the Innovation Hub“I am confident that India will become the world’s innovation hub in ICT”

Next Gen Infrastructure“Focus on infrastructure needs to shift from highways to "iways" and optical fibre networks”

Enhance Ease of Doing Business“Maximum governance and Minimum government”

Revive Manufacturing“We should become a Global Manufacturing Hub”

5India’s

Growth LeversAs identified by Modi

The Indian ecosystem is expected to be further bolstered by a new government and it’s vision to

accelerate the country’s economic growth

7

Source: Zinnov Research and Analysis

Strong Government

SupportLocal Supplier

Ecosystem

Contribution of Indian industries in

realizing a variety of hardware,

components, sub systems and

systems

Research Funding

Autonomous operations conducted

by ISRO leading to no bureaucratic

interference

Availability of

Expert Talent

Specialized talent from institutions

like IISc, IIST etc

Scientists with Phds from tier-1

institutes driving programs

Ecosystem Connect

Tie up with 52 academic institutions

(Tier-1 & Tier-2 institutions)

Connect with other space agencies

world-wide like NASA, SANSA

Enab

led

By

More Funds for Applied & Basic Research

Increased talent in the fieldMore PhDs aspiring to work in the research domain

A case in point being Mangalyaan – India making history in maiden attempt with the Mars Orbitor Mission

INR 450 Crores1/10th of the cost of a similar US mission

India’s first Interplanetary Mission4th in the world to succeed

1/4th of the time taken by NASA for a similar mission

As small as TATA NANO car1350 kgs- equal to the weight of a mid sized car

Impact on the Local Ecosystem

For smaller organizations involved with the programmePotential for export orders in areas of defence, aeronautics etc.

Enhanced Visibility

Technology Knowledge TransferISRO offers the know-how of their technology to entrepreneurs and R&D Centers in India

Boost to the local manufacturing and supplier ecosystem

8

Source: Zinnov Research and Analysis

Increase in number of products teams in Product Leadership stage in India by

2016

1

2

3

Maturity20132010Maturity Assessment

0%

50%

100%

2016 E

Engineering Support Module Leadership Engineering Leadership Product Leadership

Maturity HighLowGlobal Roles

Innovation

INDIA: Propelling R&D

Centers to greater

heights

~2xIncrease in Global Roles in India by 201630%

Product teams in India are high in maturity and are

building products for India and global markets

1/3rd

70% Global Roles in India are primarily in Engineering teams

• Accelerators

• Industry Associations

Examples of Global Roles in India

The future looks promising for India with MNC R&D Centers taking big bold bets, institutionalizing more

global leadership roles and moving to higher states of maturity

7K Start-ups in India by 2016

Deepak VVP & MD- NetApp

India Pvt. Ltd

Suresh VHead - Global

Operations, Honeywell, India

Dr Mahesh Mehendale

CTO – MCU, Texas Instruments India

Nagesh BiligiriDirector, eBay. Inc, Head

of APAC Technology Talent Acquisition

The Future

Higher maturity

9

Source: Zinnov Research and Analysis

Big Data

UI/UX

Machine Learning

Software Defined Networking

Analytics

Mobility

8% YoY Talent Growth Rate

3rd Largest Talent Pool Globally

*

6% YoY Talent Growth Rate

3rd Largest Talent Pool Globally

*

31% YoY Talent Growth Rate

5th Largest Talent Pool Globally

*

9% YoY Talent Growth Rate

2nd Largest Talent Pool Globally

*

7% YoY Talent Growth Rate

3rd Largest Talent Pool Globally

*

34% YoY Talent Growth Rate

2nd Largest Talent Pool Globally

*

HOT SKILLSIndia will be the largest

exporter of talent

““

Narendra ModiMadison Square, USA

-

…With a large pool of technical talent acting as a catalyst for this growth and establishing India’s

dominance in the technology industry

*Country ranking based on skill-set availability

HOT SKILLS

Bangalore 69 "Prathiba Complex",4th 'A' Cross, Koramangala 5th Block,Bangalore-560 095.Phone: +91-80-41127925/6

Gurgaon Office:First Floor,Plot no. 131, Sector 44,Gurgaon-122002,Phone: +91 124 4420100

SingaporeLevel 42, Suntec Tower Three8 Temasek BoulevardSingapore 038988Phone:+65 6829 2123

California Office3080 Olcott StreetSuite A125,Santa Clara, CA 95054Phone: +408-716-8432

Texas21, Waterway AveSuite 300The WoodlandsTX-77380 USAPhone:+1-281-362-2773

BeijingMeilifang Tower 4, Entrance 4, 10/F #1003,11 Beiyuan Shuangying Road,Chaoyang District, BeijingChina 100012

Thank You