{"id":5221,"date":"2018-02-01T11:54:05","date_gmt":"2018-02-01T11:54:05","guid":{"rendered":"https:\/\/www.digitalcreed.in\/?p=5221"},"modified":"2018-03-11T13:30:17","modified_gmt":"2018-03-11T13:30:17","slug":"union-budget-2018-and-the-opportunity-for-it-and-the-technology-industry","status":"publish","type":"post","link":"https:\/\/www.digitalcreed.in\/union-budget-2018-and-the-opportunity-for-it-and-the-technology-industry\/","title":{"rendered":"Budget 2018 and the Opportunity for the Technology Industry"},"content":{"rendered":"
Tech buzzwords like artificial intelligence, machine learning, 5G, IoT, 3D printing, Fintech, and blockchain found a place in the Union Budget 2018 address.\u00a0 However, Bitcoin and crypto-currencies got the thumbs down, in the Budget speech, with the government refusing to accept it as a formal mode of payment. The education industry is also going to leverage edutech to reskill teachers and to improve the quality of education. The Budget also acknowledges digital technology bringing benefits to the poor.<\/p>\n
The Finance Minister said, \u201cGlobal economy is transforming into a digital economy thanks to the development of cutting-edge technologies in digital space \u2013 machine learning, artificial intelligence, internet of things, 3D printing and the like. Initiatives such as Digital India, StartUp India, Make in India would help India establish itself as a knowledge and digital society. NITI Aayog will initiate a national program to direct our efforts in the area of artificial intelligence, including research and development of its applications.\u201d<\/p>\n
The National Institution for Transforming India (NITI Aayog) is the government\u2019s think-tank and the institution that advises the government on strategy in the economic policy-making process using a bottom-up approach.<\/p>\n
Regarding crypto-currencies, the Finance Minister said, \u201cThe Government does not consider crypto-currencies legal tender or coin and will take all measures to eliminate the use of these crypto-assets in financing illegitimate activities or as part of the payment system.\u201d However, he did acknowledge Blockchain technology, which was invented for the distribution of Bitcoin. \u201cThe Government will explore use of blockchain technology proactively for ushering in digital economy,\u201d said Jaitley.<\/p>\n
Some in the industry feel the move denouncing cryptocurrencies is harsh and the government could have taken a different stance.<\/p>\n
\u201cThe move to make cryptocurrencies illegal is a major announcement; it is likely to create a negative impact on the price of these currencies, especially Bitcoin,” said KK Mookhey, CEO & Founder of Network Intelligence. <\/b>\u00a0“A better idea may have been to come out with some sort of a regulatory framework around cryptocurrencies. On the other hand, the point raised by the Finance Minister about exploring the usage of blockchain technology for payments is a very good initiative. It will support homegrown technologies who have already invested in the technology and will attract new investments in this technology. It is a positive sign to see that 5 lakh wifi-hotspots will be set up covering 5 crore rural citizens. This falls in place with the country\u2019s Digital vision. We would have liked to see more substantial movement on setting up the CERT-Fin for the financial sector.\u201d<\/p>\n
Read our interview with KK Mookhey here<\/a>.\u00a0<\/strong><\/p>\n D.D. Mishra, Research Director at Gartner<\/strong> had a similar opinion. “Rather than restricting cryptocurrencies, they can be regulated to prevent any adverse impact and risks while exploring blockchain side by side and leverage opportunities which are available with new concepts and technologies that they bring to the table,” he said.<\/p>\n Blockchain technology has already been implemented in the Banking industry but it also has potential use in other sectors like Government. An IBM study<\/a> suggests that Blockchain can help governments build trust, by increasing transparency and collaboration.<\/p>\n