A personal account echoes a troubling trend—where red tape and arrogance continue to undermine India’s boldest innovation goals.
By Lalit Shastri
Founder & Editor-in-Chief, This is News Network
India stands at a crossroads in its journey toward technological leadership. Despite ambitious declarations and high-profile events aimed at positioning the country as a global innovation hub, the engine of progress continues to stall—held back not by a lack of talent or resources, but by the dead weight of bureaucratic apathy.
Years ago, during Uma Bharti’s tenure as Chief Minister of Madhya Pradesh, the state government hosted a high-level conference in Bhopal to promote Madhya Pradesh as an emerging IT powerhouse. On the eve of the event, the Principal Secretary for IT convened a curtain-raiser dinner with senior journalists, presumably to showcase the administration’s serious intent.
Bureaucratic arrogance and inertia have become the invisible firewall stalling India’s digital revolution.
It was at that gathering that I mentioned a fortuitous development. My brother, a globally respected AI pioneer and senior scientist from Berkeley, happened to be in Bhopal at the time. I offered to facilitate his participation in the conference—a rare opportunity to infuse the event with real substance and global perspective.
The bureaucrat’s response was as revealing as it was insulting: without acknowledging the offer, he turned away mid-conversation to engage someone else. The message was loud and clear—he wasn’t interested in real expertise or ideas that might outshine his inner circle. The conference, it turned out, was less about catalyzing innovation and more about reinforcing a network of hand-picked loyalists.
That experience, regrettably, was not an anomaly. Now, a semiconductor startup founder has made headlines with a searing open letter to Union Commerce Minister Piyush Goyal. The entrepreneur has exposed how his application—central to a major semiconductor investment—was left unattended by the Department for over two years. When finally addressed, it was returned with demands for additional documents and a fresh start, effectively sending him to the back of the queue.
This isn’t mere inefficiency—it’s institutional sabotage. How can a nation that proclaims its ambition to lead in AI, semiconductors, and digital innovation afford to treat its brightest minds and boldest entrepreneurs this way?
The problem is not new, but it is now critical. Bureaucratic arrogance and inertia have become the invisible firewall stalling India’s digital revolution. Vision alone won’t suffice; execution, humility, and openness to talent—wherever it may come from—are essential.
If we want to see India rise as a true technology leader, we must ask: are we willing to let go of personal insecurities and power games, or are we content watching golden opportunities slip through our fingers?
Postscript:
Click and check this Linkedin post by the founder of India’s rising startup SISIR Radar, distinguished scientist and former Director of Space Applications Centre Tapan Misra 👇
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The para in this article says it all- “The bureaucrat’s response was as revealing as it was insulting: without acknowledging the offer, he turned away mid-conversation to engage someone else. The message was loud and clear—he wasn’t interested in real expertise or ideas that might outshine his inner circle. The conference, it turned out, was less about catalyzing innovation and more about reinforcing a network of hand-picked loyalists.”
That has been my experience in recent times. Getting bit technical, the only thing India at present is able to achieve has been on ‘ how to provide services to others, rather than creating true innovation of Priducts’. The semiconductor startup is a classic example. It’s not that Indian startups don’t have vision, it’s the govt , founders vision to take risk with innovation. Service mentality is dominant!!! This mindset in the authority should change! In startup environment, deep pocket entities should hand-hold innovative companies. Not in words but demonstrated actions.
China has cracked this code! ( we know, it’s an authoritarian government, large democracy like India has to hammer in that long term vision that we can and we will attitude)
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Further, one of the things, Govt of India can mandate “X%” of the “Revenue” of Indian large companies to invest in startups for any Govt contracts. Currently, majority of startups, if they are any good, become part of the US startup scene or drop off and take the idea to large US companies.
What I’m groping with is, why do IITs and other good education institutions encourage its students to go overseas? Is it encouraged by Government of India? That is another source of talent leak
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