India is the world’s largest sourcing destination for the information technology industry, accounting for approximately 67 per cent of the US$ 124-130 billion market. The industry employs about 10 million work forces. More importantly, the industry has led the economic transformation of the country Information technology in India is an industry consisting of two major components which are the IT services and business process outsourcing.
One of the biggest factors that have helped India to make its mark on the world map is its booming IT industrial sector. The contributions being made by the IT industry towards the country’s GDP has led to a steady growth of the Indian economy. India’s IT industry is regarded as a hub of innovators providing world class technology solutions across the globe. 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. The IT industry has also created significant demand in the Indian education sector, especially for engineering and computer science. The Indian IT industry is divided into four major segments – IT services, business process management (BPM), software products and engineering services, and hardware.
The IT-BPM sector in India grew at a Compound Annual Growth rate (CAGR) of 15 per cent over 2010-15, which is 3-4 times higher than the global IT-BPM spend, and is estimated to expand at a CAGR of 9.5 per cent to US$ 300 billion by 2020
India’s internet economy is expected to touch Rs 10 trillion by 2018, accounting for 5 per cent of the country’s gross domestic product, according to a report by the Boston Consulting Group and Internet and Mobile Association of India . India’s internet user base reached over 350 million by June 2015, the third largest in the world, while the number of social media users grew to 143 million by April 2015 and smartphones grew to 160 million.
Public cloud services revenue in India is expected to reach US$ 838 million in 2015, growing by 33 per cent year-on-year (y-o-y), as per a report by Gartner Inc. In yet another Gartner report, the public cloud market alone in the country was estimated to treble to US$ 1.9 billion by 2018 from US$ 638 million in 2014. Increased penetration of internet (including in rural areas) and rapid emergence of e-commerce are the main drivers for continued growth of data center co-location and hosting market i
