Tehelka has an interesting story

But can Indian Web 2.0 sites compete with well-established foreign giants? For instance, why would lakhs of young Indians leave the Google-owned social networking site Orkut for Gurgaon-based yaari.com? For many the answer seems to be in localised marketing.
Yaari.com ceo Prerna Gupta says, “In the same way that we’ve seen user-generated content gain popularity in the West, Web 2.0 websites will capture market share from older portals. I think Indians are ready for higher-quality, clean, usable websites that will be a stark contrast to the messy sites we’ve seen in the past.
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Kavita Iyer, ceo of social networking site minglebox.com, says Indians are looking for more diverse products and services online. An innovative idea is to engage with existing platforms rather than create altogether new ones. MixerCast is a site that allows users to import and mix content and create rich media. Based out of Pune, MixerCast is run by Adarbad Master who explains: “We’re based on what is called ‘hyper-syndication’. What people find missing on the Net is having their own voice like creating your own video… We give them tools to create these channels.”