Spending on India’s IT services to reach US$19b at 2019

The IT services sector in India carries on to soar with demand from end users showing small signs of abating. According to new information from Gartner, end user spending on IT services in India is on the right track to total almost $15 billion in 2019, an increase of 9.8percent from 2018. End user spending on IT services in India will be 59% of total end user spending on IT services in emerging Asia Pacific, and it’s on the right track to reach 60% in 2020. High Gross domestic product growth rates are pushing local organizations to increase their investments in infrastructure, applications and initiatives, that are increasingly moving to the cloud, says Gartner research vice president Arup Roy.

Nontraditional sectors, like logistics and transportation and production, are also currently experiencing healthful growth rates, and their business models are based on investments in IT. Meanwhile, the business process outsourcing is set to attain the maximum increase this year with 14.4 percent year over year increase. This means the market is on course to reach $1.7 billion this year, and is forecast to reach $1.9 billion in 2020. Managed cloud and services infrastructure services remain the largest section with regards to spending on IT solutions in India, accounting for close to $6 billion of the aggregate market – a 40% stake.

We’ve defined the change in the way organizations adopt rdquo, & cloud technologies, says Roy. Organizations in India are increasingly looking to obtain not just the cloud infrastructure as a service tools themselves, but the automated management of these tools, management tools delivered as solutions, and cloud software infrastructure solutions. Consequently, Gartner analysts anticipate that, while IaaS only cloud suppliers may continue to exist, they’ll become increasingly market because of the width and depth of support offerings that end user organizations need. Gartner analysts anticipate that crowdsourcing, working in the home /teleworking, and the gig economy, will account for 40 percent of the consumer direction BPO workforce by 2021, up from just 7 percent in 2017. Most of this workforce, almost two thirds, will be employed by CM BPO providers, although the rest will be used by the user companies directly, says Roy. A vital advantage of crowdsourcing, WAH/teleworking as well as the gig economics is access to specialised ability that might not reside in the same area or that could be unwilling to commute to central location to work.

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