India IT software and services Industry
August 10, 2009
The software industry has grown unimpeded. With a compounded annual growth rate of more than 50% between 1992 and 2001, the Indian software sector has expanded almost twice as quickly as the world-leading U.S. software industry did during the same period, although from a smaller base. According to NASSCOM￢ﾀﾙs estimates for the fiscal year 2000-01, the country￢ﾀﾙs software industry is worth $8.26 billion, up from $100 million ten years ago. Software development hotspots, such as Bangalore, Hyderabad, Mumbai, Pune, Chennai, Calcutta, Delhi-Noida-Gurgaon belt, Vadodara, Bhubaneswar, Ahmadabad, Goa, Chandigarh, and Trivandrum are all developing quickly. . Karnataka has emerged as the computer capital and center of high-tech industries, especially software. Bangalore has for long been known as India￢ﾀﾙs answer to Silicon Valley, and this is the city where most large software companies have set up shop and operate out of state-of-the-art facilities. The Government of Karnataka has also been extremely positive about the software
India￢ﾀﾙs strengths in the software market also lie in its pursuit of new opportunities. In fact, two key segments that are expected to open up over the next few years for India are e-commerce and remote processing. IT-Enabled Services, or ￢ﾀﾜRemote Processing￢ﾀ?, has emerged as the next major driver of the technology services industry. With competitive telecommunication costs, well developed infrastructure and a huge pool of English-speaking and computer-literate graduate manpower, India rates higher than many other countries as a hub for IT-enabled services. Call centers and business process outsourcing is emerging as the next wave of growth in India.The IT-Enabled Services segment currently employs around 70,000 people and accounts for 10.6 percent of the total IT software and services industry revenues.
Outsourcing software requirements depends mostly on quality of services. Out of the 54 companies in the world that acquired SEI CMM Level 5 certification, 27 companies are located in India. Today, India￢ﾀﾙs strong base of skilled software manpower is a beacon for software customers. The advantages offered by this significant pool can never be over-emphasized. As of March 2001, India had over 410,000 working software. Professionals. Out of a total of 122,000 engineers trained each year, almost 75,000 new software engineers are ready to join the industry on an annual basis. The demand for Indian skilled manpower is also on the rise among countries outside of the U.S.
India￢ﾀﾙs software and services industry has and will continue to remain in the driver￢ﾀﾙs seat of the country￢ﾀﾙs IT sector. India￢ﾀﾙs success in the software arena is attributed to the software industry￢ﾀﾙs knowledge and expertise in cutting edge technologies and skilled manpower base. Both these strengths are likely to contribute towards the industry￢ﾀﾙs future growth.