Where will IIT' get their faculties from?

Link to a blog post. I find the numbers talked about in Jalote's article a bit difficult to understand?. Some basic information I know of faculty recruitements for IIT's is a pre-requiite of 3 yrs of post-doc experience and such, so where comes the question of Phd's passing out in the next 2-3yrs put in the supply category. Also would the new emerging IIT' be comprised of totally entry level faculties. And what about the huge resource pool of Phd's who have passed out in the last 5-10yr, still moving from one post-doc to other and would very much like to be considered for a position in IIT's. I hope this strange looking numbers and arguments is not just yet another instance of reluctance on the part of IIT's to scale up. Am forwarding this blog post to a few people, who might want to respond.