India tech market seen at $24.3 bln by 2011

Saturday, 9 February 2008

India's information and communication technology (ICT) market is estimated to reach US$24.3 billion by 2011, rising 20.3 percent annually, an industry research firm said on Wednesday.

"This growth will be driven by chief information officers (CIOs) continuing to build and consolidate the basic IT infrastructure, in addition to small and mid-size businesses increasingly leveraging technology to drive business growth and efficiency," research firm Gartner Inc said.

Gartner said the total Indian ICT market was US$9.6 billion in 2006, including hardware and software.

A worldwide survey of CIOs by Gartner has shown that average IT spend by Indian firms would rise 13 percent in 2008 against a global average of 3.3 percent.

"This increased spending by Indian CIOs is directed primarily towards building new business capabilities, with 30 percent of IT spend allocated for business growth and 19 percent towards business transformation," the firm said.

The Indian technology landscape was evolving rapidly, driven by continued growth in the offshore services sector with strong domestic growth.

Indian firms are spending more on hardware and software than on people, it added.

Source: www.itnews.com.au/News/ 7^th Feb 2008