Introduction -India
India has a widely spread information technology (IT) industry and accounts for about 67 per
cent of the US$ 124-130 billion market. The technology industry has transformed the country
and completely changed the perception about India on the global scale. India has always been at
front in providing IT services, which is nearly 3-4 times cheaper than the US, now this has
become its Unique Selling Proposition (USP) in the global market. However, India is also
gaining importance in terms of rational capital because numerous global IT companies setting up
their business centers in India.
The IT business has also shaped momentous demand in the Indian education division,
particularly for engineering and computer science. The Indian IT and ITeS trade is separated into
four main sections – IT services, Business Process Management (BPM), hardware and software
products and engineering services.
Key Points
1. India’s IT sector is set to raise, rebelling fears that financial disorder in established
economies could slow its growth.
2. Robust development in India’s business sector should permit the IT-enabled service area
(ITES) industry to boost sales in the native marketplace, smoothing its export
dependence.
3. India is the chief offshoring terminus for IT firms across the world. Having verified its
skills in delivering both on-shore and off-shore facilities to international clients, evolving
technologies now offer a whole new range of chances for top IT companies in India.
Industry Market Potential and Industry Structure
The Indian IT segment is probable to grow at a rate of 12-14 per cent for FY2016-17 in
continuous currency terms. The sector is also likely to triple its existing yearly income to reach
US$ 350 billion by FY 2025. Personnel from 12 Indian start-ups, such as Flipkart, Snapdeal,
Makemytrip, Naukri, Ola, and others, have formed 700 start-ups on their own, thus growing the
Indian start-up environment. India is positioned third amongst worldwide start-up ecosystems
with more than 4,200 start-ups.
Total expenditure on IT by finance and safety firms in India is probable to raise 8.6 per cent
year-on-year to US$ 7.8 billion by 2017. India’s internet economy is predictable to hit Rs. 10
trillion (US$ 146.72 billion) mark by 2018, accounting for 5 per cent of the nation’s GDP.
