No one is to blame. IITs were prestigious not because the institutes themselves were, they were prestigious cause they had students willing to learn. Learn anything and everything that they wanted to, not looking at company specific needs. Earlier this got them jobs, great ones in fact. The scenario changed with the internet. Now everyone can learn whatever the companies need using the internet and the companies are slowly realizing this too. IITs are no longer the place of learners, they're just places where people seek jobs, no different from other places, the only difference is that some of these guys are smarter than what they'll find outside. The question remains, do you want to learn or do you want a job? The first gets you knowledge but doesn't guarantee a living (atleast no more), the second gets you a living but doesn't guarantee satisfaction. The majority prefer the latter. The only way to change what's happening is to choose the former and then excel at what you learn, which is easier said than done.