Hotmail founder Sabeer Bhatia will launch a "Nano City" in Haryana, India, according to the Business Standard. The project, to be set up in collaboration with the Haryana government, is likely to attract an initial investment of $2 billion.

Addressing reporters in Chandigarh, Bhatia said silicon technology had become obsolete and nanotechnology represented the future of IT and biotechnology. "The objective of our effort is to recreate the vibrance of Silicon Valley in Haryana," said Bhatia.

The scope for creating jobs in the knowledge-based industry was far greater than what manufacturing offered and it was time India cashed in on the boom in the industry, said Bhatia.

Principal Secretary of Haryana and Financial Commissioner, Industries, PK Chaudhary, said the state government expected this proposed city to provide, apart from nanotechnology, bio sciences, software product development, next-generation Internet products, and materials research.