Kerala: Skewed policy upsets startups

KOZHIKODE: Startups are at the receiving end in the Malabar region although the government  says it is committed to promoting them. Little space has been provided to startups in the government Cyber Park that is  to be opened soon  and the one owned  by the Uralangal Labour Cooperative Society here though turning Kozhikode district as the next IT hub of Kerala after Ernakulam and Thiruvanthapuram was the dream of IT Minister Kunhalikutty.

The major portion of  space in the parks has been reserved for  multinational companies.  The IT minister has justified it saying,  “the presence of more MNCs is needed  to brighten up the IT sector of Kerala and we require more investment in the sector for  future prospects.”

The government cyber park, the third one owned by the state government, will provide space for  leading MNCs  and their names will be  disclosed after the completion of the entire procedures, he  added.

The majority of the startup representatives in Malabar region are sore over the government neglect towards them. “Though Kozhikode city can boast of two major cyber park projects and other IT agencies, they are not of  use for startups like us,” said Arjun Hari, founder of a start-up  incubated at Technology Business Incubator at NIT-K.

The startups require only  minimum space to run their companies  comprising  some 15 to 25 staff members,  said Mr M.T. Ramakrishnan, CEO,   Calicut Forum for Information Technology (CAFIT). But cyber parks  offer large space keeping in mind  the  MNCs. The government will provide  incubating facilities for startups in Kozhikode, he added.

“Financial constraints do not allow us to opt for large space in cyber parks,”  said Akhil K. Joseph, a startup founder with KINFRA.  The government should allot small space for startups, which will indirectly help in promoting more companies here and develop the  IT sector locally, he opined.

Government Cyber Park CEO R. Ajith Kumar said that the government had proposed projects  to promote startups.  Incubators will be set up attached to the cyber park to provide space for them, he said.