Indian IT industry to touch $15b next year

MUMBAI: The IT industry in India is poised to touch $15.5 billion during 2003-04, which would represent a growth of 27 per cent compared to the previous year which was $12.2 billion. This was announced by Nasscom, prior to the beginning of its annual industry conference, Nasscom 2004.

While the software and services exports is projected to contribute $12 billion, the domestic software market's share would be $3.5 billion. In 2002-03, the software and services exports touched $9.5 billion and domestic software market pitched in with $2.7 billion. The industry has registered a growth of 28% for fiscal year 2002-03 (ended March 31st 2003) as against the previous year, 2001-02, where it industry clocked $9.9 billion.

Kiran Karnik, President, Nasscom, said, "India has been in the forefront of the outsourcing revolution globally and has today become the most preferred destination for businesses worldwide to meet their outsourcing needs. Besides cost advantages, factors such as innovation, quality, productivity, total cost of ownership, suitability and customization are helping India maintain its lead in the global IT industry."

This year IT Services, Products and Technology services have grown by 18.3 per cent to reach $7.2 billion while the ITES-BPO segment registered a growth of 59 per cent clocking $2.3 billion. Next year the IT Services, Products and Technology services are likely to grow to $8.4 billion and ITES-BPO is expected to scale up to $3.6 billion.

CIOL Bureau