From the era of Nehru and Bhabha

From the era of Nehru and Bhabha

... to the age of outsourcing

... to the age of outsourcing

Monday, September 23, 2013

Nehru: The Unlikely Hero of India’s Information Technology Revolution


A talk by author of The Long Revolution at the Nehru Memorial Museum and Libraray

http://www.nehrumemorial.org/perspectives-in-indian-development-series.php

Read the full NMMLOccasional Paper, published under the Perspectives in Indian Development Series:

http://www.nehrumemorial.nic.in/images/pdf/occasional/08_dinesh_c_sharma_op_8.pdf

Thursday, June 20, 2013

A tribute: IT guru, technology forecaster, Computer Boy, mentor and a source of inspiration

By Dinesh C Sharma, June 20, 2013

In my 30 years of journalism career, my heart has never felt so heavy while writing an obituary. The sudden demise of Dr N Seshagiri has shaken me from inside. One often comes across a variety of people during journalism career. Most are just temporary ‘contacts’ whom you forget the moment your beat changes or tour assignment is over or the contacts retire from their positions; while a few leave everlasting impression on you. Just a handful remain your friend, philosopher and guide for lifelong. For me, Dr Seshagiri belonged to that rare category.

To the world, he was a founding father of the great Indian IT revolution and a technology forecaster, one of the shining ‘computer boys’ of the Rajiv Gandhi era, an institution builder, a great computer scientist  and a mover and shaker of the IT Task Force set up by the Vajpayee government, which led to second wave of reforms for the IT and telecom sectors. To me personally, he was a source of information, knowledge, inspiration, encouragement, energy and a pillar of strength. A telephonic talk with him or an email message from him was sufficient to energise me.

The first time I met him was in early 1990 when he was the Director General of the National Informatics Centre (NIC) and the last telephonic conversation I had with him was as recent as two months ago. In the intervening 23 years, I must have met him several times, got a number of exclusive stories and heard a lot of interesting stories from him. My communication with him was more intense after he had retired and settled down in Bangalore. I have no hesitation in placing on record that my book on the IT industry – The Long Revolution – would never have been written or if written, would have never been complete, without Dr Seshagiri.

The first time I mentioned the idea of the book to him was in 2004 when I met him in Bangalore. I vividly recall the meeting which took place at Pavithra Restaurant in Jayangarar Fourth Block Market over hot cups of coffee. I had already mentioned to him about the book project, so he came prepared with a lot of photocopies of book chapters, reports and other material. This became the seed material for my book and I straight away launched into research for the book. He was very encouraging and supportive.  A detailed, formal interview took place only two years later, in July 2006, at the NCST city office in Visvesaraya Towers.  This was followed by constant communication with him and more meetings at IIC Delhi and in Bangalore.

While providing me information and documents, he always emphasized that I should write an unbiased history of IT industry, supported by references and documents and not mere views and anecdotal remembrance. Many elements of the story would have remained unexplored or poorly explained but for critical leads provided by Dr Seshagiri. Whenever I got conflicting version of events from other players, he would listen to me and come out with logical arguments or produce documentary proofs in support of his point of view. It was an intellectual camaraderie that I thoroughly enjoyed and will always cherish its memories. Every word of the praise he wrote for my book came from his heart and he meant it. I will value it all my life. He was gracious enough to come for the Bangalore launch of the book, along with Ram Guha and S Sadagopan, making it a memorable show.

After retiring from NIC and the Task Force, Dr Seshagiri was involved in another major project, which was non-IT about which many people are not aware of it. He edited a massive series of reference books on Cities and Towns of India, published by the Delhi-based Gyan Publishers in 2008. In 2012, he came out with similar series on villages of India. It was seminal work, never before attempted by any government agencies. This is something he wanted NIC to do, but government support did not come for this. He had planned a system for constant updating of the two series, and also a digital version of it in future. My most recent interaction with him was for a paper I was writing on the future of India’s IT industry. The insights which be provided for this paper are invaluable.

Dr Seshagiri had a pleasing personality, was unassuming yet had a magnetic personality, was eager to help and was always seeking to break new grounds even at 73. He was the shining star of Indian IT and the nation must be grateful for his contributions. Many of the ideas he had about the use of technology, the future of Indian IT and social aspects of IT diffusion are still unpublished and in private domain. I thought I would convince him to pen all his ideas into a new book.  Alas, that opportunity has been lost. May his soul rest in peace. 

Saturday, April 13, 2013

IBM wanted FERA flexibility, Coke had political connections: Kissinger cables

By Dinesh C Sharma, Mail Today, April 13, 2013


The dramatic exit of American multinationals – IBM and Coca Cola – from India in 1977 is often attributed to tough stand taken by the government over the issue of cap on foreign equity.


Cables of the Kissinger era leaked by Wikileaks, however, show that the pull out was not a knee-jerk decision and, in fact, secret talks were held between the two companies and government representatives during the emergency period. The final decision by American companies to exit came during the Janata government in which George Fernandes was the industry minister.


Communication exchanged between the American embassy in Delhi and Washington in April 1976 reveals that top brass of IBM lead by Ralph Pfeiffer - Chairman of IBM World Trade Americas/Far East Corporation - was keen to remain in India but at its own terms.


The company offered several sweeteners such as a Computer Sciences Centre in India and a USD 6 million grant to the government for computer-related research in exchange of concessions on the equity issue. IBM was willing to divest to the 40 percent level – as required under the Foreign Exchange Regulation Act (FERA) – in non-core areas such as manufacturing unit for exports.


State department officials got an impression that “India wanted IBM to remain in India, but on Government of India terms” and that the position of IBM as a major transnational operating in the country “was likely to prejudice IBM efforts to obtain a reasonable concession”.


The strategy drawn for Pfeiffer’s visit to Delhi was “to try to talk reasonably with M G K Menon (who was negotiating with IBM on behalf of the government) and others without acrimony or ultimatums. If this ploy fails he return within a month to try to see Mrs Gandhi or Finance Minister Subramanian in last attempt to negotiate agreement whereby IBM can remain in India on acceptable terms”. If all this failed, IBM was ready to pull out, as it did a year later. 


Another cable sent from New Delhi in December 1976 mentions about problems Coca Cola was facing with the FERA. However, the cable said, “because it (Coca Cola) has connections at a high political level it was able to obtain relief.” The Ministry of Industry was told that it should not deny the company import licenses while its FERA case remained to be negotiated.


Besides IBM and Coca Cola, several other companies such as Goodyear and Firestone too were in trouble. The thrust of American lobbying was on “flexible interpretation” of FERA guidelines. The embassy officials also wanted that representatives of foreign firms should be allowed to actually appear in person before FERA Committee to state defend their position.