Nara Lokesh: Shares Demanded from IT Companies Under Previous Government

"During the previous government’s tenure, demands for shares in IT companies drove many of them out of the state. This harmed Andhra Pradesh’s IT sector and cost opportunities for our youth. I’ve spent the last five months addressing these issues with IT companies and industry representatives, and I’m proud to announce that TCS is set to begin operations in Visakhapatnam within the next three months," said Nara Lokesh, Minister for Education, IT, and Electronics, during a discussion in the Assembly.

He further explained:"After the bifurcation of the state, former Chief Minister Chandrababu Naidu worked on the principle of decentralization, focusing on making Visakhapatnam a hub for IT development. From 2014 to 2019, we brought in nearly 150 IT companies, creating 50,000 jobs. Agreements with companies like Adani to establish data centers were in place, and IT conclaves in Visakhapatnam were held to attract global investments."

"However, the irresponsible policies of the previous government put the brakes on this progress. They went so far as to demand stakes in IT companies—something unheard of before. Companies like NIXI and STPI left the state as a result. This isn’t just about numbers; it’s about the future of Andhra Pradesh’s youth," Nara Lokesh emphasized.

"But we’re back on track now. TCS is not only starting operations but also planning to set up a campus in Visakhapatnam. Discussions with Infosys for similar investments are underway, and we’re identifying land to support these initiatives. Our goal is ambitious but achievable: 5 lakh IT jobs in Andhra Pradesh over the next five years. We’re building the ecosystem to make this a reality."

Vision for Data Investments
"Recently, I visited the United States and held discussions with leaders of the data center industry. Unfortunately, from 2019 to 2024, there was no focus on this sector, and many companies shifted their investments to Mumbai, Tamil Nadu, and Telangana. If a robust policy had been in place, Visakhapatnam could have been the data center capital of India."

"My vision is to attract $100 billion out of the $300 billion global annual investments in data centers to Andhra Pradesh. For this, we need to address issues like data security, taxation, and data embassies. A national data policy is critical, and we’re actively working towards it. With the right approach, Andhra Pradesh can become a leader in this space," Nara Lokesh said.

"We’re also making progress in infrastructure development. The Bhogapuram airport is being constructed at a rapid pace, and Visakhapatnam will soon host India’s largest convention center. This social ecosystem will attract not only IT companies but also the tourism industry, which we’ve now recognized as an official industry. Thousands of hotels and related services will follow, creating jobs and boosting the economy."

Speed and Efficiency in Business
"Speed matters in business. Tata Chairman Chandrasekaran recently told me that even a one-month delay can derail a company’s plans. That’s why we’ve made the 'speed of doing business' a priority. We’re monitoring industrial approvals weekly to ensure no unnecessary delays. This focus has already brought Reliance Biofuel to commit to establishing 700 units in Andhra Pradesh."

"Collaboration is key," Nara Lokesh added. "I encourage MLAs and influential Telugu individuals worldwide to connect me with companies interested in investing here. I’m ready to travel anywhere to bring them to Andhra Pradesh. Together, we can achieve our target of creating 5 lakh IT jobs in five years."

"We’re also exploring coworking spaces in Tier-2 and Tier-3 cities to attract IT companies. Discussions with the Chief Minister are ongoing to facilitate these developments. Additionally, we’re working on a new policy to attract Fortune 500 companies to set up Global Capability Centers (GCCs) in the state."

Future Plans for IT and Data Growth
"Adani’s data center project is back on the table, and we’re in active discussions to finalize it. A national-level data policy will bring large-scale investments to Andhra Pradesh. I’m also working on land allocations in IT Hills for data centers, and I expect at least two major data companies to start operations in Visakhapatnam within the next three months."

"We need critical infrastructure like a sea landing cable from Singapore to support these data centers. Bringing NIXI back to Visakhapatnam is also a priority. We’re working on all these fronts to ensure Andhra Pradesh becomes a top destination for IT and data industries," Nara Lokesh concluded.