Karnataka and Maharashtra rank second and third respectively on Internet readiness according to Nielsen. Excluding Nagaland, North Eastern states ranked low in terms of overall Internet readiness. Karnataka, Delhi and Maharashtra are the top three states with the highest number of digital startups. Index of Internet Readiness of Indian States, is a study released by Internet and Mobile Association of India (IAMAI) and Nielsen.
Delhi has emerged the top ranked state in terms of overall Internet readiness, overtaking last year’s winner Maharashtra. Delhi takes the first slot not only amongst small states and Union Territories but also when all states are taken together. The capital city-state is followed by Karnataka, Maharashtra, Kerala and Tamil Nadu.
According to IAMAI and Nielsen, Delhi gets this rank primarily because of its fabulous e-Infrastructure and e-participation. Among the smaller states, Delhi is at the top followed by Chandigarh and Puducherry. Chandigarh is ranked second in both e-infrastructure and e-participation. Puducherry ranks after Chandigarh when measured on the e-infrastructure index.
Significant is that even within smaller states, the northeastern states ranked low in terms of overall Internet readiness. Therefore, much more needs to be done in the form of investment and infrastructure development in the region. Among the northeastern states, Nagaland tops the list, closely followed by Manipur and Tripura. Nagaland leads in IT environment and performs moderately well in other categories to get to the top.
The Internet readiness index is a composite benchmark of four components. These four components are e-Infrastructure index, e-Participation index, IT-Environment and government e-services index. The four components have been given equal weightage in this model. Separately, a fifth index (named the Core Internet Index) has been created this year, consisting of select variables already used in constructing the above indices. The purpose of the index is to give a sharper perspective for digital industries looking to expand their business throughout Indian states.
One of the key highlights of this year’s report is measuring the digital startup ecosystem of states. The report finds that Karnataka, Delhi and Maharasthra are the top three states with the highest number of digital startups. The study says that of the total 242 startup incubators in the country, 61 startup incubators are in Tamil Nadu. About 83 percent of these incubators are in 10 states, that os, Tamil Nadu, Karnataka, Uttar Pradesh, Maharashtra, Kerala, Telangana, Gujarat, West Bengal, Dlehi and Rajasthan. In the North East, except for Manipur where a single startup incubator is present, none of the other states have one.
The report highlights the performance of the states regarding different measures of Internet readiness index given the rapid advancement in e-services and e-commerce, it is essential to understand the strengths and weaknesses of the states. While this would help the business and governments to leverage strength, policy measures can also be taken where improvements are required.