India will spend US$ 124.6 billion on IT in 2024, an increase of 10.7%, according to Gartner
- IBEF
- November 29, 2023
According to the latest forecast by Gartner, India will spend US$ 124.6 billion on IT in 2024, an increase of 10.7% from 2023. This comes after 2023's flat growth (-0.5%). Devices, IT services, and software will drive the expansion.
When comparing year-over-year increases in spending, the devices and IT services segment has seen the most increase. According to Gartner, device spending will increase from a negative growth of -7% in 2023 to 10% in 2024. Furthermore, IT services are predicted to increase by 14.6% in 2024 after growing by 6.5% in 2023.
India's IT spending pattern is in line with global trends. Compared to 3.5% in 2023, Gartner forecasts that overall IT growth will reach 8% by 2024. After growing by just 7.3% in 2023, IT services are expected to expand by 10.4% in 2024.
Very little IT spending in 2023 and 2024 will be tied to generative artificial intelligence (GenAI), according to Mr. John-David Lovelock, Distinguished Vice President Analyst at Gartner. "Nevertheless, organisations are still investing in automation and AI to boost productivity and bridge IT talent gaps," he continued.
According to Mr. Naveen Mishra, Vice President and Team Manager at Gartner, “Indian organisations are expected to invest in AI and automation during this time, as a strategic effort to improve operational efficiency and address the ongoing shortage of IT talent. However, it is not until 2025 that GenAI will begin to carve its place in IT budgeting amongst Indian organisations.” He also pointed out that although investments in GenAI and AI will help India's IT spending expand, the effects on actual IT spending levels won't become noticeable until 2025.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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