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Posted on December 23 2017

Indian Startups may move out of Silicon Valley owing to US net neutrality nip

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By  Editor
Updated May 10 2023

Indian Startups

Indian Startups may move out of Silicon Valley owing to US net neutrality nip said the co-founder of the campaign for net neutrality savetheinternet.in Nikhil Pahwa. He said that free ambiance is preferred by the entrepreneurs, for instance, such as in the US. Thus the net neutrality issue will force the investment out of the Silicon Valley.

Pahwa who is also the founder of Medianama said that it will become tough for the Indian startups in the US to offer services to users. The reason is that it will be unwise economically to sign individual contracts with ISP for preferred treatment.

Founder of Appurify based at San Francisco Rahul Jain said that in the absence of net neutrality majority of the startups will be at a disadvantage. This will be with respect to larger players who are established and irrespective of whether they are in the US or elsewhere. The established firms possess industry pull, stability, and resources. They can thus position themselves in the best way in the competition for bandwidth access.

If the net neutrality ends, affluent ISPs such as Comcast, AT&T, and Verizon can prioritize select sites and mobile apps for return fee or business interests, according to experts. Several Indian firms have begun to expand into the US. This includes apps streaming music such as Gaana, and Saavn.

National Foundation for American Policy a think tank based in the US held a study in 2016. It revealed that migrants have launched more than 50% startups in the US. These are valued at more than 1 billion dollars. They are also vital stakeholders of product development teams or management for more than 3/4ths of these firms. Indian-origin entrepreneurs have started more than 30% of these firms.

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