Industry Overview for 2018
India had 55 per cent share of the US$ 185-190 billion global information technology sourcing business in FY18. Indian IT & ITeS companies have set up over 1,000 global delivery centres in about 80 countries across the world.
India has become the digital capabilities hub of the world with around 75 per cent of global digital talent present in the country.
India’s IT & ITeS industry grew to US$ 181 billion in 2018-19. Exports from the industry increased to US$ 137 billion in FY19 while domestic revenues advanced to US$ 44 billion. Spending on Information Technology in India is expected to grow over 9 per cent to reach US$ 87.1 billion in the next year.
Revenue from digital segment is expected to comprise 38 per cent of the forecasted US$ 350 billion industry revenue by 2025.
Indian IT industry attracted significant investments from major countries. The computer software and hardware sector in India attracted cumulative Foreign Direct Investment (FDI) inflows worth US$ 35.82 billion between April 2000 to December 2018, according to data released by the Department of Industrial Policy and Promotion (DIPP). IPE investments in the Information Technology sector stood at US$ 2,400 million in Q4 2018. Venture Capital (VC) investments in the IT & ITeS sector stood at US$ 53.0 million during Q4 2018.
About 200 Indian IT firms are present in around 80 countries. Leading Indian IT firms like Infosys, Wipro, TCS and Tech Mahindra, are diversifying their offerings and showcasing leading ideas in block-chain, artificial intelligence to clients using innovation hubs, research and development centres.
IT exports from India are expected to reach highest ever mark of US$ 126 billion in current financial year. Highest ever revenue was generated by Indian IT firms at US$ 181 billion in 2018-19. Export revenue of the industry is expected to grow 7-9 per cent year-on-year to US$ 135-137 billion in FY19. The industry is expected to grow to US$ 350 billion by 2025 and BPM is expected to account for US$ 50-55 billion out of the total revenue.