Last Updated: March 24, 2020
Last Updated: December, 2019
India is the world's largest sourcing destination, accounting for approximately 55 per cent of the US$ 185-190 billion market in 2017-18. India’s highly qualified talent pool of technical graduates is one of the largest in the world and the country has a low-cost advantage by being 5-6 times inexpensive than US. India is the second-fastest digitising economy amongst 17 leading economies of the world.
The cloud market in India is expected to grow three-fold to Rs 49,621 crore (US$ 7.1 billion) by 2022 with the help of Growing adoption of Big Data, analytics, artificial intelligence and Internet of Things (IoT), according to Cloud Next Wave of Growth in India report.
India’s IT industry contributed around 7.7 per cent to the country’s GDP and is expected to contribute 10 per cent of India’s GDP by 2025.
The IT-BPM sector in India stood at US$177 billion in 2019 witnessing a growth of 6.1 per cent year-on-year and is estimated that the size of the industry will grow to US$ 350 billion by 2025. Moreover, revenue from the digital segment is expected to form 38 per cent of the total industry revenue by 2025 whereas, digital economy is estimated to reach Rs 69,89,000 crore (US$ 1 trillion) by 2025. Total export revenue of the industry is expected to grow 8.3 per cent year-on-year to US$ 136 billion in FY19. Spending on Information Technology in India is expected to reach US$ 90 billion in 2019.
IT industry employs nearly 3.97 million people in India of which 105,000 were added in FY18. The industry added around 105,000 jobs in FY18 and is expected to add over 250,000 new jobs in 2019. Hardware exports from India are expected to grow at 7-8 per cent in FY19. The export sector crossed Rs 9,57,493 crore (US$ 137 billion) of revenues and marginally grew at the rate of 7-9 per cent in FY19.
The computer software and hardware sector in India attracted cumulative Foreign Direct Investment (FDI) inflows worth US$ 41.26 billion between April 2000 and September 2019 and ranks second in inflow of FDI, as per data released by the Department for Promotion of Industry and Internal Trade (DPIIT).
PE investments in the sector stood at US$ 11.8 billion across 493 deals in 2019.
The Government of India has extended tax holidays to the IT sector for software technology parks of India (STPI) and Special Economic Zones (SEZs). As of November 2019, there were 417 approved SEZs across the country where 274 are of IT & ITeS and 143 are exporting SEZs.
Further, the country is providing procedural ease and single window clearance for setting up facilities. On May 2019, the Ministry of Electronics and Information Technology (MeitY) launched the MeitY Startup Hub (MSH) portal.
Also, the government has identified information technology as one of the 12 champion service sectors for which an action plan is being developed. It is setting up a Rs 5,000 crore (US$ 745.82 million) fund for realising the potential of these champion service sectors.
Click to access the IT & ITes Industry Archived Report
Last Updated: March 24, 2020
India has the fastest internet traffic growth globally and is expected to have 348 million users by 2017, up from 138 million in 2012.
Agriculture and its allied sector are crucial for the development of a country, especially for India where it is the largest source of livelihood. The sector plays a majo...
The global economy is presently going through the fourth Industrial Revolution, also known as the Digital Revolution. This revolution is changing not only the way we inte...
The Ministry of Road Transport and Highways (MoRTH) issued a draft notification of Bharat Stage (BS) VI emission standards in 2016 for all major on-road vehicle categorie...
Television was first introduced in India on September 15, 1959 with the help of UNESCO. Since then the television industry has witnessed transformation with advancement i...
During the celebration of 73rd Independence Day, Prime Minister Mr Narendra Modi addressed the nation from the Red Fort and underlined that India ‘has mu...
Disruptive technologies and innovations in application engineering are fast changing farming practices in India. From preparing the land to sowing, to reaping and mentori...