Hyd cos must focus on innovative, research-driven products: Panellists

Hyderabad, Sunday 28th September 2025 — At a panel discussion titled “Industry@2047: Defining Hyderabad’s Future of Work”, leading voices from healthcare, technology, and space-tech sectors urged Hyderabad-based companies to prioritize research-driven, innovative products over service-based operations. The experts stressed that building a strong foundation of high-value, research-backed innovation will be essential for ensuring the city’s global competitiveness and avoiding the risks of commoditisation in a rapidly changing economic landscape.

Call for Innovation Beyond Commoditisation

The discussion brought together industry leaders who highlighted Hyderabad’s potential to become a global hub for innovation if companies focus on creating original, research-intensive products. Panellists warned that an over-reliance on services may limit long-term growth, whereas investment in innovation can open new markets, strengthen self-reliance, and propel Hyderabad into the forefront of global product development.

Vaccine Development and Biotechnology

Sai D Prasad, Executive Director of Bharat Biotech, underlined the crucial role of healthcare innovation in shaping India’s future. He revealed that Bharat Biotech is actively working on novel vaccines and is expanding into cell and gene therapy, which he described as the “final frontier” of vaccine development. Prasad emphasized that few countries are pursuing these advanced areas, giving India an opportunity to lead globally if it commits to sustained innovation.

He further cautioned that Hyderabad alone cannot bear the responsibility of driving biotechnology innovation. “Growth must extend to the rest of Telangana as well,” Prasad remarked, underscoring the need for a regional approach to industry development. By broadening innovation ecosystems beyond the city, Telangana can ensure balanced growth and create opportunities across urban and semi-urban centers.

Scaling Through Product Companies

Rohit Chennamaneni, Co-founder and CEO of Darwinbox, focused on the need to shift from a predominantly service-oriented industry base to building scalable product companies. He argued that while services provide stability, true exponential growth requires businesses to develop products that can scale rapidly and capture global markets. According to Chennamaneni, Hyderabad’s rich talent pool and maturing startup ecosystem provide a fertile environment for such a transformation if companies embrace product innovation as a strategic priority.

Hard-Tech and Manufacturing for Self-Reliance

In the space-tech domain, Naga Bharath Daka, Co-founder of Skyroot Aerospace, highlighted the pressing need for hard-tech startups capable of manufacturing machinery and capital goods domestically. He noted that over-reliance on imports for machinery hampers innovation and slows progress in sectors such as aerospace and advanced engineering.

Daka argued that turning Hyderabad into a launchpad for space-tech and hard-tech innovation requires significant investment in local manufacturing infrastructure. By creating capabilities to produce their own tools and machinery, startups in Hyderabad could reduce dependencies, improve self-sufficiency, and accelerate technological progress in cutting-edge industries like aerospace.

Building Ecosystems and Infrastructure

The panellists agreed that while innovation must be the primary driver, achieving this goal requires advanced infrastructure, talent attraction, and supportive ecosystems. Hyderabad’s existing advantages — including a robust IT sector, growing biotechnology hub, and supportive government policies — position it well to take the lead in hard-tech and space-tech. However, the experts stressed that additional investment in manufacturing capability, research institutions, and skill development is critical to sustaining long-term innovation-driven growth.

India’s First Citizen-Centric AI Marketplace

Another significant highlight of the panel was the announcement of efforts to develop India’s first citizen-centric AI marketplace, which will be built with a focus on regulatory compliance, domain-specific datasets, and government-to-citizen (G2C) solutions. Hyderabad has been identified as the ideal location for this initiative due to its existing digital infrastructure, thriving startup ecosystem, and strong linkages between academia, industry, and government.

The proposed marketplace aims to create a platform where AI solutions tailored to citizens’ needs can be developed, shared, and deployed responsibly. Experts suggested that such initiatives will not only boost Hyderabad’s standing as a global technology hub but also demonstrate how innovation can directly impact governance and public service delivery.

Hyderabad’s Role in India’s 2047 Vision

The panel discussion framed innovation as a national imperative, linking Hyderabad’s growth trajectory to India’s broader Vision 2047 goals. By 2047, India aspires to be a fully developed nation, and Hyderabad — with its expanding biotech, IT, and aerospace industries — is seen as a critical driver of that ambition. The city’s challenge lies in moving beyond traditional service-led growth and focusing on long-term product innovation across multiple sectors.

Challenges and Opportunities Ahead

While optimism was evident, the panellists acknowledged significant challenges. These include global competition, the need for consistent government support, gaps in local manufacturing, and the urgency of nurturing skilled talent. However, they emphasized that each challenge also presents opportunities for Hyderabad to differentiate itself on the global stage.

For biotechnology, the opportunity lies in pioneering cell and gene therapies. For technology firms, the challenge is to create scalable products beyond service contracts. For space-tech startups, the opportunity lies in reducing dependence on imports and making Hyderabad a center for hard-tech manufacturing. Collectively, these directions represent a roadmap for innovation-led development.

Conclusion

The panel’s deliberations reinforced a single message: Hyderabad must embrace research-driven product innovation to secure its future as a global hub of technology and industry. From vaccines and gene therapy to AI marketplaces and hard-tech manufacturing, the city has the talent, infrastructure, and ambition to lead. However, the success of this vision will depend on sustained investment in innovation, collaborative ecosystems, and an unwavering commitment to building products that define the future.