The last phase of growth came from a growing information technology industry and service industry. India became a hub for information technology and a knowledge-based economy. Because of the availability of a highly talented technical workforce and improved protection of intellectual property, many western firms shifted their research and development departments to India in order to reduce their R&D cost. India was able to pick up most of the outsourcing from western countries because of the low cost. India was the major recipient of the outsourced call centers, medical billing centers and other business administration and insurance related services. India’s economy is now supported by its own expertise in information technology, larger capital market, improving infrastructure and growing middle class with increasing disposable income.