Software and Services Sector

Introduction

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The Indian Information Technology/ Information Technology Enabled Services (IT/ITeS) industry is a global powerhouse today, and its impact on India has been incomparable. It has contributed immensely in positioning the country as a preferred investment destination amongst global investors and creating hug job opportunities in India, as well as in the USA, Europe and other parts of the world. In the last decade, the industry has grown five fold in revenue terms, and relative share to India’s GDP has increased to > 7.9 percent in FY2017-18. India is the topmost off-shoring destination for IT companies across the world. Having proven its capabilities in delivering both on-shore and off-shore services to global clients, emerging technologies now offer an entire new gamut of opportunities for top IT firms in India. The country's cost competitiveness in providing IT services, which is approximately 3-4 times cheaper than the US, continues to be its Unique Selling Proposition (USP) in the global sourcing market. Indian IT-ITeS industry offers cost-effectiveness, great quality, high reliability, speedy deliveries and, above all, the use of state-of-the-art technologies globally.

Indian global sourcing market growth continues to outperform IT-BPM industry growth. During 2017-18, the global IT-ITeS market grew to US$ 1.3 trillion (excl. hardware) and global sourcing market increased by 1.4 times to reach US$ 185-190 billion. India continued as the world’s top sourcing destination with a significant share of 55%. Indian IT-ITeS industry has set up over 1000 global delivery centres in over 200 cities in about 80 countries around the world.

The Ministry of Electronics and Information Technology is coordinating strategic activities, promoting skill development programmes, enhancing infrastructure capabilities and supporting R&D for India’s leadership position in IT and IT-enabled Services.