Indian Economy and issues relating to planning, mobilization, of resources, growth, development and employment.
Effect of policies and politics of developed and developing countries on India’s interests
Google’s Investment in India
Context: US tech giant Google announced plans to invest $10 billion in India over the coming five to seven years through the “Google for India Digitisation Fund”
The focus of investment will be on
Bringing more high-quality low-cost smartphones to enable greater Internet access
Building new products and services in consumer technology, education, health and agriculture
Empowering small and medium businesses to transform digitally.
Significance of the investment
The move signals a stepping up of engagement between Indian and US tech firm
It shows the attractiveness of the India’s digital economy, even in the midst of a severe global economic slowdown.
The investment is much needed at a time when Indian economy is in the midst of a deep slowdown
What is the broader shift that is happening in world?
Google’s decision is also indicative of a wider shift signalling a split in the tech world between the US and China
India had decided to ban the widely used Chinese app TikTok and US is also considering similar action
US is also putting pressure on countries to keep Chinese company Huawei’s equipment out of their 5G networks
UK has also banned the purchase of new Huawei equipment by its telecom operators after the end of 2020
All these can be seen in countries trying to reconfiguring global supply chains, which is presently centred around China
Conclusion
Indian government should do everything it can to deepen and widen this burgeoning market.
Connecting the dots:
Pros and Cons of FDI
Justice B. N. Srikrishna Committee report on Data Protection
