Digitization, internet of things, entrepreneurial system, improving business environment and rapid clearance systems make Indian IT, BPO industry more robust and vibrant. The Indian software and services industry is one of the very few sectors worldwide to have witnessed double digit growth. Fiscal Year 2015-16 is expected to see the export market at approximately $100 billion, recording a 13.1 percent growth.
The year also witnessed rapid growth in the technology start-up and product sector. India is already ranked as the 4th largest startup hub in the world with over 3100 startups in the country. Many foreign companies come forward to invest in these start-up companies. The domestic IT, BPM market is approaching $50 billion mark. This faster growth is largely being driven by the booming eCommerce segment. Stable Central government with a technology focused growth agenda is further boosting technology adoption in the domestic market.
The contributions being made by the IT industry towards the country’s GDP has led to a steady growth of the Indian economy. Various international organizations have set up their offices here in India like Google, Accenture etc. It has helped in changing Indian economy from an agricultural based economy to a knowledge driven economy. According to the Economic Survey 2014-2015, IT and TeS make up the single largest contributor to India’s Services exports. Nasscom said the industry added 230,000 jobs in 2014-15, growing 7 per cent against a revenue growth of 13 per cent. The industry’s employee base crossed 3.5 million and it created indirect employment for over 10 million people.
Growth of Indian IT Industry – Future Perspective
The Indian Information Technology sector is expected to grow 11% per annum and triple its current annual revenue to reach $350 billion by FY 2025, as per National Association of Software and Services Companies (NASSCOM). Indian IT’s core competencies and strengths have attracted significant investments from major countries. The computer software and hardware sector in India attracted Foreign Direct Investment (FDI).
Government of India is planning to develop five incubation centres for ‘Internet of Things’ (IoT) start-ups, as a part of Prime Minister Mr Narendra Modi’s Digital India and Startup India campaign, with at least two centres to be set up in rural areas to develop solutions for smart agriculture.
It is important to undertake integrated efforts to further strengthen these fundamentals and fulfil the aspiration of achieving a strong growth in future.