The IT industries in India are concentrated in the major metropolitan cities of India such as Bengaluru, Mumbai, Chennai etc. This isolated concentration of the IT industries in these cities have several socio-economic implications such as:
- Economic empowerment: Development of IT industries in major cities, have led to the economic empowerment, rise of new middle class through higher employment opportunities and development of ancillary businesses.
- Gender parity: As the labour force participation of women in quality jobs is comparatively more in major cities, due to development of IT industries, it has led to their financial independence and empowerment.
- Cultural changes: The concentration of IT industries in major cities have also seen cultural changes. A marked shift towards accepting western language, rise in nuclear families, shift in food choices and modes of recreation could be seen. For example, café culture of Bengluru.
- Social infrastructure: Development of IT industries have given boost to the social infrastructure. This could be seen in high availability of schools, hospitals etc.
- Migration: As these cities have become the centre of knowledge economy, there is a marked preference in youths to migrate into these cities for better career opportunities leaving senior citizens behind in tier 2-3 cities.
- Un-balanced development: Concentration of IT industry in a handful of cities, have led to the neglect of many tier 2, tier 3 towns. This has created an un-healthy development divide in the country. There is also a huge wage gap between IT workers and other workers.
- Security challenges: The late-night work culture, rise in affluency have parallelly enhanced the security challenges for the citizens and administration alike with incidents of thefts, eve-teasing etc. on a rise.
The development of IT industries has come as a boon for the country. Its development should be decentralized into tier2 and tier3 cities also, so as to ensure an inclusive development in the growing knowledge economy.