For IT companies, pre-placement offers (PPO) are a big way of acquiring new talent and these companies are willing to break the bank for prospective candidates. A new report on the Times of India claims that US based IT firms like Amazon, Facebook and Samsung are willing to pay as much as Rs 1 to 1.5 crores as pre placement offers to IIT graduates.

The placement coordinator of IIT Kanpur revealed that Facebook had paid the highest compensation. The offers have been said to be in the region of between Rs 1 and 1.5 crores. Even Amazon India's HR director claimed that 50 per cent of the company's on campus recruitment happened in the form of pre-placement offers.

"At Amazon we believe that interns are our future leaders," said Raj Raghavan, director of human resources at Amazon India.

Generally speaking, the number of pre placement offers have seen an exponential rise. Students claim the hiring has increased in a massive way with companies like Amazon and Samsung indulging in pre-placement offers for 60 per cent of their IIT hires.

Other than Amazon, Facebook and Samsung companies like Microsoft, Adobe, Reliance Industries, Tata Steel, and Flipkart are also big time recruiters.

The bourgeoning start-up culture of the nation is also playing a big role. Many former alumnus of IIT's are running start-ups and they return to their alma mater to recruit graduates. Most of the companies make these pre placement offers on the basis of the student's performance in his/her internship. Usually, their internship ends in August and the pre-placement process goes on till December.

Other than tech companies, investment banking firms are also big recruiters. Companies like JP Morgan Chase, Barclays are heavy paying recruiters.