The IT policy announced by the Andhra Pradesh Government last week has come in for equal measure of praise as well as criticism by local IT companies.

The decisions to develop IT investment region and make Vizag a mega IT hub have been welcomed, but it is widely felt that no clear-cut policy guidelines have been formulated for achieving the objectives.

Many said that though the policy is well-intended, more changes need to be made in future. Decision on giving a break to power-cuts, exemption from Shops and Establishments Act and bringing them under ESMA have been welcomed by all.

Deepak Madala, President of Vizag IT Association, said that on the whole "it’s a very well thought and comprehensive policy. It is just what the state needs to kick-start its operations''.

Solving the power issue, grant of some subsidies, and declaring IT as an essential service were all welcome steps, but "we would like to see support for captive power as the power deficit may take some time to be fixed''.

Symbiosys Technologies CEO Naresh Kumar said he was thoroughly disappointed with the policy for falling far short of expectations.

He said there was nothing in the policy to woo prospective investors in the sector to Vizag. "Most of the proposals are carried over from previous policy. Unless the social infrastructure is improved and the city's green cover increased, and overall master plan roads are completed, investors will not choose the city,” he said.

Sankhya Technologies Director Bulusu Murali Manohara Rao said that to promote innovative ideas and attract potential billion dollar companies to the region, the policy could have included measures like setting up of incubation centres in universities with the initial seed capital from the government.

>sarma.rs@thehindu.co.in

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