Top Tech companies choose Hyderabad in India for their Global expansion


swatkats

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Even as the Karnataka government drags its feet over tackling the e-commerce taxation quagmire, India's largest e-tailer Flipkart has chosen Telangana over Karnataka to set up its largest and 16th warehouse in the country.

Flipkart is opening the fulfillment centre in Hyderabad, which is spread over 2.2 lakh sq ft and is expected to ship out 1.2 lakh items every day once it becomes fully operational. The centre will have fully automated segregators, profilers to keep a tight check on quality, and automated conveyor belts for sorting inventory. The warehouse is expected to create 2,000 jobs directly and 10,000-15,000 jobs indirectly. Flipkart has pumped in Rs 400 crore to set up the 16 warehouses across the country and is looking to invest Rs 2,000-2,500 crore in the next 4-5 years to strengthen its supply chain.

Although Flipkart has three fulfilment centres located in Karnataka - one in Whitefield and two in Jigani - its choice of location for its newest warehouse is the direct result of Karnataka government's apathy in reversing the flight of capital to neighbouring states or relaxing norms for e-commerce business in the state.



"In terms of location preference, there were a few constraints in choosing Karnataka. We don't have clarity on regulatory aspects for e-commerce here (Karnataka). If there is no clarity on the e-commerce taxation, no one would want to set up warehousing facilities here. There is an ongoing dialogue with the government and we hope to reach some clarity within a few days," said Binny Bansal, cofounder and COO of Flipkart. "We were locating another place if not Karnataka, and Telangana was the next place from where we could reach majority of our customers in South India.There is clarity on taxation in Telangana. From there, we hope to reach 70% of our customers in South India in a single day," he said.

More recently, e-commerce behemoth Amazon ran into trouble with Karnataka's commercial taxes department for allowing sellers to register the fulfilment centre as an additional place of business. This led to the state cancelling the licences of many smaller merchants registered on Amazon.

Amazon has been demanding exemption on VAT payment saying its fulfillment centre only stocked, packed and dispatched products and was not doing business directly. It wants the government to collect VAT from sellers. The state says there is no provision in the VAT rules for retailers to take shared space at Amazon's FCs.

Flipkart too is seeking a clarity on e-commerce-related taxation and VAT issues. "The sellers from different states have their inventory stored here and they are being shipped by a third party like us. There are taxation concerns around that," said Bansal.

Sandeep Ladda, national leader, technology and e-commerce at PwC India, said there is no clarity on how laws are interpreted in Karnataka. "The state government should come out with a consultation paper taking all the stakeholders into consideration. VAT-related issues have been going around for quite some time. The current law states that the seller has to discharge the tax liabilities. The government should be clearer how the law has to be administered."

Source: http://economictimes.indiatimes.com/industry/services/retail/flipkart-picks-telangana-for-its-largest-warehouse/articleshow/49224293.cms



Best things to happen to the new state: Google, Amazon, Flipkart and ACT Fibernet. Thanks to the Foundation laid by Chandra Babu.
 
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swatkats

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Apple To Setup First $25M Offshore Technology Development Centre in Hyderabad

The new centre will be built on 250,000 square feet of land in the real estate firm Tishman Speyer's WaveRock facility at Hyderabad's IT corridor at a cost of $25 million (150 crore rupees). It is anticipated to create 4,500 jobs for locals. IT majors such as Infosys, Wipro, Microsoft, and Cognizant have already set up their offices in the IT corridor.


http://www.zdnet.com/article/apple-to-open-first-offshore-technology-development-centre-in-india/
 

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Apple Opens its Development Centre in Hyderabad; Focus on Maps and Navigations Services

Hyderabad Becoming the Preferred Choice for Biggies

Hyderabad seems to be the favourite place for all the Tech biggies. It has Amazon’s biggest campus outside of USA with an investment of 1800 Cr, So does Uber. What’s more even Google’s largest campus out of US is located in Hyderabad. Microsoft too has a huge facility there.

With Apple coming in – Hyderabad now has development centres of all the top 4 global technology companies!

http://trak.in/tags/business/2016/05/20/apple-hyderabad-development-centre/
 

swatkats

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IT minister's work here is quite commendable. He being an Ex-IT employee is able to attract companies + old IT image of Hyderabad.

Services like Google fiber should enter hyderabad. seriously! It will be beneficial for IT Companies and for GDP increase.
 
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drkrack

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Yes TRS is working wonders for Hyderabad, be it getting Godavari water for drinking, metro work, reducing corruption in govt offices or improving the brand Hyderabad ; they're showing a good governance (again BTW previous govt was Congress).

They're not advertising their achievements in national newspapers (like our beloved Delhi CM gives full page ads in Hyderabad DC) , wasting public money or indulging in cheap gimmicks like banning alcohol, beef etc.
Why anyone will vote for Saffron in Hyderabad when they're happy with Pink, at least for local elections?

2 months ago I went to register my bike, no agents were allowed inside RTO; every one other than senior citizens and disabled have to be in a Queue for registration . Person next to me was very angry with this, later I came to know that he was registering his Rolls Royce !! Real democracy.
 
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swatkats

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Lord Nemesis

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Yes TRS is working wonders for Hyderabad, be it getting Godavari water for drinking, metro work, reducing corruption in govt offices or improving the brand Hyderabad ; they're showing a good governance
KCR was in TDP when it was in power back in the late 90's and that was when Hyderabad was developed from absolute nothing. He saw how CBN swooped way projects from Bangalore and other places where the govt's became careless about the industries. So, he knows very well that he has to continue the work or Hyderabad will go to nothingness again. Further, the fact that CBN is the CM in neighboring state is itself a big motivator to keep him on his toes. Had YSR won in AP as KCR wished and hoped, things would have been a bit different.

They're not advertising their achievements in national newspapers (like our beloved Delhi CM gives full page ads in Hyderabad DC) , wasting public money or indulging in cheap gimmicks like banning alcohol, beef etc.
They did and still do waste a lot of public money. Its just that they have a lot of it presently. You should look up on how many crores they are spending on celebrating festivals, something that a govt should not have anything to do with.

As for banning alcohol, that won't happen. Majority of TRS campaign money came from liquor mafia. After he came into power, they gave away fresh liquor shop licenses in the thousands.
 
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