Gagan Kaul Blog

There is a perceptive change in the US investor and venture capital markets. People in large numbers are attending conferences on India. The throng is a big change from the scene after the tech bust left, when the last wave of investors went running for India’s exits. However, this time it’s different. The cash-flow has started flowing back into Indian startups, and investors are starting to prowl for smaller, more innovative companies once again. At the same time, serious economic liberalization and a “brain gain” of technical talent and veteran entrepreneurs pouring back into India are changing the rules. That’s giving observers cause to hope for stronger, steadier growth in India. Primary driver of this change is the birth of a number of hybrid companies with innovations happening in India and sales and marketing happening in US. Now the main technical work happens here and Indian companies are opening up their offices in the US to market their products. This is a reverse trend compared to the outsourcing business model, which is now falling into the second generation companies. Talent is returning back to India, partially because of the tech-bust that took place in the 1990s and then later as Indian companies started getting famous and became leaders in innovation. Its great to see India finally coming of age.