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Microsoft to Invest $1.7 billion in India

Posted by ryuzaki0 on from the currying-favor dept.

piyushranjan writes "Bill Gates has announced that Microsoft will invest $1.7 billion in India over the next four years to expand its operations. The fund would also be spent in making India a major hub of Microsoft's research, product and application development, services and technical support for both global and domestic companies. Microsoft plans to create 3000 more jobs at India, taking it's headcount at India to 7000."

8 of 383 comments (clear)

  1. microsoft announces... by know1 · · Score: 5, Funny

    ...that they are crapping their pants at the state of linux acceptance in india, and the widespread use of the operating system independant programming language java.

  2. Heck... by eclectro · · Score: 5, Funny


    Why worry about H1B Visas when you can just buy India.

    --
    Take the cheese to sickbay, the doctor should see it as soon as possible - B'Elanna Torres, "Learning Curve"
    1. Re:Heck... by pubjames · · Score: 5, Informative

      I know you're only joking, but the annual GDP of India (according to the CIA world factbook) is $ 3,319,000,000,000, so it's worth considerably more than Microsoft...

  3. Defensive move by pubjames · · Score: 5, Insightful

    I expect Microsoft will be making similar investments in China too.

    I see this as partly a defensive move - they know India and China are potentially two big markets for the future, and they don't want them considering OSS alternatives. They will use these investments to twist the governments arms. Although I don't think it will work with the Chinese, it might work in India.

  4. Funny ... by Anonymous Coward · · Score: 5, Insightful

    And Microsoft wonders why there are less and less people going into Computer Science and other Computer programs here in the States?

  5. It's only about $$$ by gasmonso · · Score: 5, Insightful

    Having worked with a software development group in India for 3 years now, I can honestly say I am not impressed. Many of the engineers there are well educated on paper, but in reality lacked creativity and the ability to work independently. They were definitely cheaper, but the price we paid for that was a huge cut in productivity. We needed 2-3x more of them to get the job of one engineer done here.

    On the flip side, I also work with many Indians here in the US on my team. The differences are startling compared to their counterparts in India. They are much stronger in all aspects of engineering, whether its creativity or pure coding knowledge. It appears that the issues are somewhat cultural and will improve with time.

    Good luck to Microsoft and the others, but we are scaling back our staff in India. It's just not worth it yet.

    gasmonso http://religiousfreaks.com/
    1. Re:It's only about $$$ by yahyamf · · Score: 5, Insightful
      I'm from the middle east but I've studied both in India and the US. Here's my perspective:

      The Indians that come to the US are usually the brightest 2% or so from the top colleges in the country. Degrees from the average Indian colleges are usually not worth the paper they're printed on. The facilities available to students are negligible compared to the US. For example, in the city of Hyderabad with a population in the millions, there are maybe 2 public libraries.

      However, with home computers and broadband internet fast becoming commonplace, this is all set to change especially in engineering and computer science. Indian students are no longer isolated from the rest of the world, they now have access to the same software, books and culture as their Western counterparts. The latest textbooks were not affordable or even available and publishers would only sometimes bring out an 'eastern economy edition' or something. But now most technology related ebooks are available for free (due to piracy).

      I was a TA for undergrads in the US and I can tell you that Indian students are much more hard working than Americans, who seem pampered by comparison. My job was more baby-sitting than teaching. Also, for many Indians education is the only way out of their miserable economic conditions, whereas in the US someone can drop out of high school and get a job flipping burgers and maintain a standard of life that is luxurious compared to his Indian counterpart.

      You may be right that outsourcing is not worth it right now, but you'll be surprised how fast this is going to change. Moreover, due to the huge population, if only 10% of Indian students become skilled enough to be globally competitive they will be a force to be reckoned with.

      It's obvious Microsoft and the others know this already.

  6. Re:Mod parent up by Directrix1 · · Score: 5, Insightful

    No the story should read: "Microsoft outsources to India: Press Paid-off to show in Positive Light".

    --
    Occam's razor is the blind faith in the natural selection of least resistance and in universal oversimplification. -- EF