India’s technology services sector can scale to US$ 750–850 billion by 2035: NITI Aayog
- IBEF
- February 13, 2026
The Indian technology services industry is expected to enter a period of great growth; according to the NITI Aayog, it is forecasted that the industry will grow from approximately Rs. 2,199,500 crore (US$265 billion) this year to between Rs. 6,225,000–7,055,000 crore (US$750–850 billion) by 2035, based on a 10-year roadmap issued by the government think tank. The report notes that Artificial Intelligence (AI) will drive a shift in how value is created in the technology services industry, moving from traditional labour-arbitrage type arrangements to being predominantly driven by Intellectual Property (IP), platform-driven, and outcome-based services. Key growth drivers in the roadmap include agentic AI; software and products; digital infrastructure; innovation-led engineering; and India-centred solutions, allowing India to build on its global competitiveness regarding next-generation technology services.
India is currently positioned at a pivotal moment in their technological evolution; government backing, industry collaboration, and joint governmental initiatives will expedite innovation and execution within India’s technological industry. This roadmap identifies that India is executing on a full-stack AI strategy that encompasses all aspects of AI, including infrastructure, chips, models, and applications, with the technology services sector providing the fundamental means to translate innovation into massive-scale industrial use. The technology services sector’s continuous development will assist India in achieving its vision of Viksit Bharat 2047. Viksit Bharat 2047 will be achieved by generating substantial employment opportunities and by establishing India as a leader in AI-enabled systems and digital platforms, rather than only as a global service provider. With excellent fundamentals such as a skilled workforce; developing digital ecosystem, and a burgeoning research and development resource, India is ideally situated to capitalise on new opportunities emerging in the global technology landscape and to drive long-term economic development.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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