So much for the demand. On the supply side, the universities have ramped up to supply warm bodies (hence the term "bodyshoppers") to the "IT" industry. In India, the "cool" companies are bodyshoppers like Infosys. There are also social forces that nudge bright young people to "safe" jobs - like arranged marriages, where "status" is an important differentiator in acquiring a good wife or husband. One component of such status is the "prestige" and name-recognition of your employer and scrappy startups have very little. The fact that Indian VCs (with a few honorable exceptions) look for the next big "scalable" services company doesn't help either.
