Strengthening Internet Access Across India –

Data Centre ClusterMadhya Pradesh’s efforts towards achieving the dream of a Digital

India

M. SelvendranManaging Director Madhya Pradesh State Electronic Development Corporation

Swadesh in Digital Age

Large number of people online -

73.9 million users

3rd Largest in the world

2nd in Asia Pacific

Growth in number of users phenomenal

31% year-on-year growth

fastest growing online population in Asia Pacific,

2nd in the world behind Brazil

Young users predominate –

75% of the Indian online population is under 35 yrs old

No gender disability

Women aged 35-44 are the heaviest internet users among all age/gender groups

Transforming India to Digital India

HONOURABLE PRIME MINSITER- SHRI NARENDRA MODI

" Our dream is, therefore, of “Digital India”. When I talk of “Digital India”, I don’t speak of the elite, it is for the poor people. You can imagine what a quality education the children in villages will get, if all the villages of India are connected with Broadband Connectivity and if we are able to give long distance education to the schools in

every remote corner of the villages. If we create a network of telemedicine in the places where there is a shortage of doctors, we can have a clear guideline of the way in which health facilities have to be provided to

the poor people living in those areas. The citizens of India have mobile phones in their hands, they have mobile connectivity, but can we walk in the direction of mobile governance? We have to move in a direction where

every poor person is able to operate his bank account from his mobile, is able to demand various things from the government, can submit applications, can conduct all his business, while on the move, through mobile

governance and if this has to be done, we have to move towards ‘digital India’ and if we have to move towards ‘digital India’ then we have a dream.“

NOFN- National Optical Fibre Network - 2,50,000 Gram Panchayats spread over 6,600 Blocks and 641 Districts are to be covered by laying incremental fiber.

Digital India

Transform India into a connected knowledge economy by 2019.

Vision of Digital India

• Digital Infrastructure as a Utility to Every Citizen

• Governance & Services on Demand

• Digital Empowerment of Citizens

Vision Area 1: Infrastructure as a Utility to Every CitizenVision Area 1: Infrastructure as a Utility to Every Citizen

• High speed internet as a core utility• Cradle to grave digital identity -unique, lifelong,

online, authenticable• Mobile phone & Bank account enabling participation

in digital & financial space• Easy access to a Common Service Centre• Shareable private space on a public cloud• Safe and secure Cyber-space

• Seamlessly integrated across departments or jurisdictions

• Services available in real time from online &mobile platform

• All citizen entitlements to be available on the cloud• Services digitally transformed for improving Ease of

Doing Business• Making financial transactions electronic & cashless• Leveraging GIS for decision support systems &

development

Vision Area 2: Governance & Services On DemandVision Area 2: Governance & Services On Demand

• Universal Digital Literacy

• Universally accessible digital resources

• All documents/ certificates to be available on cloud

• Availability of digital resources / services in Indian languages

• Collaborative digital platforms for participative governance

• Portability of all entitlements through cloud

Vision Area 3: Digital Empowerment of CitizensVision Area 3: Digital Empowerment of Citizens

Nine Pillars of Digital India

Pillar 1. Broadband HighwaysPillar 1. Broadband Highways1yr: 50,000 GP

2yr: 100,000 GP

3yr: 100,000 GP

1yr: 50,000 GP

2yr: 100,000 GP

3yr: 100,000 GP

Changes in Rules to facilitate.

Changes in Rules to facilitate.

Integration of SWAN, NKN, NOFN. To be implemented in 2 years

Integration of SWAN, NKN, NOFN. To be implemented in 2 years

Pillar 2. Universal Access to Mobile connectivityPillar 2. Universal Access to Mobile connectivity

Ongoing Programme Increased network penetration & coverage of gaps

Ongoing Programme Increased network penetration & coverage of gaps

Pillar 6. Information for AllPillar 6. Information for All

Online Hosting of Information & documents Citizens have open, easy access to information Open data platform

Government pro-actively engages through social media and web based platforms to inform citizens MyGov.in 2-way communication between citizens and

government

Online messaging to citizens on special occasions/programs

Largely uti l ise existing infrastructure – limited additional resources needed

Do we have the infrastructure to achieve this dream

Madhya Pradesh

Overview

MP is the second largest State in the Country stretching over 308,000 sq kms.

The State is blessed with large mineral resources of coal, diamond, limestone, methane etc.

MP is among the top 4 states of the Country for industrial investments.

Average growth rate > 10.00 % per annum Advantage MP

Total electricity generation capacity > 13,000 MW*

India’s first greenfield SEZ Indore SEZ

Industrial Centers 8

The State is centrally located

Investor friendly Government policies

Madhya Pradesh has one of the upcoming industrial base in India

Economic Snapshot

Madhya Pradesh is emerging as a key growth center for the Country

Madhya Pradesh (MP) – State that means business

Overview

Power

*Ministry of Power (powermin.nic.in) **Source: Indiastat.com (as on 23 Feb 2006)

RO

AD

NE

TW

OR

KA

IRP

OR

TS

RA

ILW

AY

NE

TW

OR

K

• The State is well connected with the rest

of India with almost 425 trains passing

through the State on a daily basis. Of

these 175 trains pass through the State

capital Bhopal alone.

• The total length of roads spanning MP is 67,600 kms.**

• National highways of 5,200 kms run through the State.*

• 18 National highways including trunk routes of Delhi-Mumbai, Delhi-Chennai, Delhi-Bangalore, Delhi- Hyderabad.

• The total length of State highways in the State is 9,885 kms.**

• Convenient linkages to western ports i.e. Kandla Port, Jawahar Nehru Port Trust.

• 25 airstrips.**

• Convenient air links from key Indian cities like Delhi & Mumbai to Bhopal, Jabalpur, Gwalior, Indore and Khajuraho.

• 5 operational airports.

• Indore airport has the capability of handling international cargo.

• An international airport proposed in Bhopal.

Enabling Infrastructure

MP IS CENTRALLY LOCATED AND WELL

CONNECTED WITH ALL MAJOR CITIES IN INDIA

*Source: Department of Road Transport & Shipping (morth.nic.in) **Source: www.destinationmadhyapradesh.com

INDORE BHOPAL

JABALPUR

GWALIOR

KHAJURAHO

Third largest producer of

cement in India*

12 blocks with reserves

totalling 2,585 million tons of

coal has been identified

Largest producer of pulses and

oilseeds in the Country (~75%

of soyabean production)

31% of the State under forest

cover with a largely unexploited

species of rare, valuable

medicinal- herbal plants

Over 2,000 kms of roads

being developed with Private

Partnership (BOT)

Over 18,000 technical

graduates and 230,000

graduates add to workforce

each year

Over 144 BCM of coal bed

methane reserves available

Over 100 agricultural farms with

an area of over 20,000 acres is

available on lease to investor

India’s 1st operational Greenfield

SEZ at Indore

Favourable climatic

conditions for cotton and

over 40,000 power-looms

are driving the textile

industry

Availability of coal and natural gas

(G.A.I.L pipeline) along with support from

Government to make investment in

Thermal Power Plants lucrative

Offers diverse tourists destinations

catering to various segments of tourism

such as religious (Bhojpur), eco/ adventure

(Panchmari), heritage (Sanchi, Khajuraho)

tourism etc.

Madhya Pradesh: A Preferred Investment Destination

Various blocks available for

power, cement, iron and

steel units

*Source: www.mpsidc.org & Brochure: MP Means Business

0

50

100

150Mumbai

Delhi

Bangalore

Chennai

PuneHyderabad

Indore

Bhopal

Ahemadabad

Mumbai(780 Kms)

(MPV - 1000) Pune(800 Kms)

(MPV - 206.51)

Bangalore(1400 Kms)

(MPV - 254.52)

Chennai(1430 Kms)

(MPV - 362.84)

Hyderabad(840 Kms)

(MPV - 257.9)

Delhi(740 Kms)

(MPV - 789.5)

Ahmedabad(570 Kms)

(MPV - 220.63)

Kolkata(1350 Kms)

(MPV - 613.19)

Key Markets

(Distance From Bhopal)

MPV – Market Potential Value

MP: The Right Place with the Right Environment

MP is centrally located. The State is at an easy distance from

all the key consumer markets in the Country.

DESTINATION MADHYA PRADESH

**Source: India Today

Fastest mover* in overall

performance among the big

States in the Country.

Fastest mover in agriculture

Fastest mover in infrastructure

development.

Ranks 2nd in terms of

governance.

Ranks 3rd in terms of law &

order

Cost of skilled labour is USD

2.4/day vis-a-vis USD 3.5 –

USD 4.0/day in metros

* Fastest mover is the State where the rate of improvement between 2003 & 2006 was greater than that between 1991 & 2003

Bhopal and Indore have substantial cost

advantages, even when compared to other Tier

III and IV cities.

Savings in Office Space Rates

(A comparison of rates in Central Business Districts)

The cost of land is one of the lowest in the Country. Even central hubs such as Indore and Bhopal fare well against other cities in terms of low land cost.

(Estimated Values for Multi-product SEZs)

Savings in Land Cost

0%

20%

40%

60%

80%

100%Vishakapatnam

Chennai

Greater Noida

Chandigarh

Jaipur

Indore

To be best state in harnessing information

To navigate into a global city that is internationally recognised

To generate 360 degree growth in IT sector in MP

Our Goals

Topography

6 T ’s of Madhya Pradesh

TechnologyTemperament

Telcom & Power Talent & Taskforce

Tax

Flexible Policies

Surplus Electricity

Land Bank

MP's advantages

Current Status of IT investments in MP

The Concept of Data Centre Cluster (DCC)

Data & Cloud Cluster

Data & Cloud Cluster is an aggregation of leading data centre players of the market leveraging common regional space and facil i t ies for hosting their data.

Datacenter Growth Prints

Leader in Asia

Singapore

Ireland

Dublin

US

Dallas

MP

18 top datacenter firms onboard

Google & ,top 10 INC, Serving EMEA

HUB in US , accounts for world’s 35% DATA

DCC (Proposed)

300% Growth in Cloud Data

The market

500 mil l ion internet users by 2017

$1.5 billion Market expansion by 2017

500 mill ion Indian Internetusers by 2018

300% Growth in Cloud Data

$181 billion Market expansion by 2016

Thinking BIG!

Current Global competition

Our Dream

Aim high!

ImagineLets make MP a global

state

Largets datacenter of the world is in China 6.3 million sq.ft only

Create India’s largest Data centre cluster

10 million sq.ft. is equal to 2

PENTAGON PREMISES put

together

India has around 18 datacenter all

together, while the world has 500+

datacenters. LAGGING TOO

BEHIND!

This cluster proposes all the datacenters

together in one roof, inviting all form the

world

MP alone will have more datacenters than the entire

world.

MP has the capacity to host datacenter

13000MG watt electricity

We only need 100MGv watt of electricity for 10

million sq.f.t

We have a capacity of three , that gives MP edge over other

states.

DCC Served area

Midde East

South Africa

Europe

APAC

Middle East

The Benefits of Clustering

Better innovation through collaboration and networking opportunities

Data centre design and build

The opportunity to play on a global stage

World-leading providers to choose from within the cluster network

Driven entry to world hardware solutions

Reduced costs of development and production - economies of scale

Legal, tax and accounting services

Generating employment & affecting skills & education system positively

One Stop Solution for all data center needs

South Africa

Advantages

Redefining Madhya Pradesh as a technologically transformed state

Reposit ion IT Services Sector, Hardware and Telecommunication sector thereby empowering skil led resources

Drive 5 bil l ion dollars of investment from domestic and international investors

Advantages to the State

Uplift the standard of l iving of people and education at rural level

Growth of Medium skil led workforce. Setting up of Hardware Training Centers across the state

Advantages to the Cit izens

Creating Employment Opportunit ies across Real Estate, Telecommunication, Infrastructure and Hardware Companies

Advantages to the Investors

Data Centre Friendly Land- Strategically

Located

Subsidized Power Supply

IT Flexi-PoliciesFDI-friendly

policies, specially infrastructure

structure

Skilled Manpower

Connectivity to all major airports

Domestic & International

Solar Power Support- Green

Energy

National Representation &

Branding

Single window Clearance

Land

• About 100 acres of land identified near Indore

• Falls in a Seismic zone acceptable for Data Centres

• Close to an airport

• Land to be developed by MPSEDC

• Provided at 25% of the market rate

• Cost of land – 1/10th to 1/20th of that in Mumbai

Telecom and Internet Connectivity

• Have held discussions with all major ISP’s

• ISP’s have evinced keen interest in setting up fiber

termination points at the proposed DCC

• Competitive costs due to economies of scale

Power

• Madhya has surplus power• 24 x 7 x 365 – uninterrupted power supply• Good quality power• Power from two different grids• Cost advantage of at least 25-30 % over other

locations

Labor Laws

• Best labor laws in the country• Extensive revamp of labor laws• No surprise inspections• Single return to be filed • Reduction in paper work by more than 80% • Women can work in night shifts

Manpower

• Indore is the educational hub of MP• More than 40 engineering colleges

– Indian Institute of Technology– Indian Institute of Management– Indian Institute of Information Technology

• Good quality manpower• Cost of HR is very competitive

– At least a 30% advantage

Facilitation

• Single window clearance system– All clearances under a single window– Building permission, Environmental clearance etc– Investment relationship managers to provide

hand holding for each project

• Chief Minister is available to meet investors on Monday every week without prior appointments

POLICY INITIATIVES . . EXISTING

REBATE ON COST OF LAND

CAPITAL INVESTMENT SUBSIDY

INTEREST SUBSIDY

EXEMPTIONS LIKE STAMP DUTY, REGISTRATION FEE ETC

REIMBURSEMENT OF COST OF SKILL GAP

EXPANSION OF EXISITING UNITS

APPLICABILITY OF INDUSTRIAL PROMOTION POLICY + OTHERS

FISCAL INCENTIVES

POLICY INITIATIVES ... EXISTING

SINGLE DOOR CLEARANCE

EXEMPTIONS ON EXISTING FAR (FLOOR AREA RATIO)

POWER 24X7

EXEMPTION UNDER LABOR LAW & OTHER REGULATIONS

SELF-CERTIFICATION OF REGISTERS ETC.

+ OTHERS

NON FISCAL INCENTIVES

Partner us in achieving the Dream of Digital India

THANK YOU