India's IT and Software Industry Continues its Growth Curve

Here is an old post about the forecast of Software Industry Growth in India. I liked this article and thought of posting it here...will come up with more like this...

The software industry is continuously expanding in India. It is a leading destination for the IT and IT-enabled services worldwide. As per NASSCOM, the leading body for the software industry in India, the gross revenue has grown from 1.2% from 1997-1998 to 5.8% from 2008-2009.

Sydney, New South Wales, May 20, 2010 /India PRwire/ -- The IT and Software industry is a major economy player in India. Mainly based on IT software and facilities such as system integration, software experiments, custom application development and maintenance (CADM), Network and IT services and solutions; the country's IT-BPO industry expanded by 12% during fiscal year 2009, and attained aggregate returns of US$71.6 Billion. Out of the derived revenue, US$59.6 billion was directly generated by the software and services sector alone. The IT industry in India had an increase of about US$7 billion in FY 2008/2009 i.e. US$47.3 billion against US$40.9 billion in the previous FY.

Major multi-million dollar investments are expected in the Industry in the next few years for instance, a five year agreement between HCL Technologies and News Corp for administering its information centers and IT services in the UK. According to industry pundits, the deal is estimated to be at about US$200 - US$250 million. Other investment deals include the US$50 million agreement between HCL Technologies and Meggitt, a UK based security apparatus manufacture, for offering engineering facilities and the Global giant Walmart that shortlisted three Indian IT dealers for a deal worth US$600 million. NASSCOM-Deloitte study shows that the contribution of the IT/ITES industry to the GDP of India has gone up to a share of 5% in 2007 from the meager 1.2% in 1998. Revenues from the Industry have been put at US$64 billion and its growth rate stood at 33% in the FY ended 2008.

Major software and IT industry players in India include, Tata Consultancy Services, Wipro Limited, Infosys, HCL Technologies, Tech Mahindra, Patni Computer Systems, i-flex solutions, MphasiS, L&T Infotech and IBM India. There are numerous software companies in the country but the above are the top companies that offer IT and software services. Software exports from India have increased and account for about 60% of India's total software revenue. This has been boosted by the domestic software market that depends on the sale of software packages and products, earning revenue for the country. About 40% of the domestic software market is made of products while more than 80% of software exports earnings are generated by services like custom software development and consultancy services. More information about the Indian IT & Software industry is available on http://www.investinindia.com.
It is expected that India's software export revenue will grow by 13-14% in the current fiscal year that began in April even though companies in the outsourcing business are expected to remain cautious on their technology spending requirements.

Invest in India is an initiative to market India as an investment destination all over the globe, to provide a networking platform to the Indian businesses at a global level and to provide information to the international investors about investment opportunities in India. [source]