Over 800 global executives have nominated India as the world's most promising location where technology innovation can flourish.
KPMG released its "Global Technology Innovation" report on Thursday, surveying 811 business leaders between April and June. These comprised respondents equally from the Americas, Asia-Pacific, and Europe, Middle East and Africa. Specifically, 25 percent of respondents were from the United States, 12 percent from China and 9 percent from India.
The report found that India trumped Israel, the United States, and China in the inaugural "confidence index," which uses ten factors--including talent, infrastructure, and government incentives--to assess a country's prospects for tech innovation.
India ranked number one with an index of 72, beating Israel by a point, and the United States's score of 65.
The other criteria include: development of disruptive technology breakthroughs; mentoring and access to innovation network (Founders, CEOs, etc.); access to alliances or partnerships; supporting ecosystem (law firms, VCs, and etc.); access to capital; education system, and the ability to drive customer growth.
Overall, India took the third spot on the 2013 Global Tech Innovation Index, behind the U.S. and China. Ten percent of respondents believed that India would generate disruptive breakthroughs, compared with the United States (37 percent) and China (24 percent).
The U.S. is being tipped to retain its crown as the global capital technology innovation, as only a third of respondents believe this concentration of activity will shift elsewhere. Last year, 44 percent believed it would shift.
KPMG India's head of technology and markets Pradeep Udhas said that India's "farsightedness" offset other short-term and structural issues.
"Despite several concerns on data privacy and local technological infrastructure, the outlook for the sector is largely positive. The government can assist the technology sector by enabling easier access to capital through investor-friendly policies and strengthening IP protection laws," Udhas said.