Snapshot
New India: The future is Virtual.
Indian industry is consistently strengthening its digital capabilities by adopting deep tech technologies and focusing on deploying emerging technology solutions such as AI, Cybersecurity, and IoT.
In FY 2023, the technology industry is estimated to have 5.4 Mn employees and contribution of 53% in India’s service exports. With 23 new unicorns, India became the 2nd highest country in terms of number of unicorns added in 2022. 1300+ new tech startups emerged in 2022. Over 280,000 employees were reskilled and made digital skilled in FY 2022.
Government of India has taken some major initiatives to promote IT/ ITeS sector in India. Both central and state governments in India have taken steps towards developing technology solutions to digitally enable citizen services. The government plans to focus in areas such as cybersecurity, hyper-scale computing, artificial intelligence, and blockchain. With data costs of INR 10/GB ($0.12/GB), India has one of the lowest data costs in the world.
By offering affordable data to consumers, the digital infrastructure enables ease of access to services like banking, governance and more.
Second highest number of internet subscribers in the world.
Up to 100% FDI is allowed in Data processing, Software development and Computer consultancy services; Software supply services; Business and management consultancy services, Market research services, technical testing and Analysis services, under automatic route.
For further details, please refer FDI Policy
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Share in India's GDP
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Share in global sourcing
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Share of IT & BPM sector in total services in exports of India
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Firms use India for testing services.
Largest market share in global services sourcing industry
Third largest and the fastest growing hub for technology startups
India is No.1 in digital skills readiness
- Industry Scenario
- FOREIGN INVESTMENT
- INDUSTRY TRENDS
- POLICIES & SCHEMES
Industry Scenario
#1 in software services exports
India’s technology industry revenue is estimated to be $245 Bn in FY 2023. Technology are expected to grow at 9.4% in reported currency terms. In terms of FDI equity inflow, the computer software and hardware sectors attracted the highest FDI in FY 2021-22.
Between April 2000 and Mar 2024, it attracted FDI equity inflow of $109.49 Bn. India secured 1st rank in “AI talent concentration”. Also, India secured 5th rank in “FTTH/Building Internet subscriptions” and “AI scientific publications”.
India is one of the most preferred destinations when it comes to setting up Global Capability Centres (GCCs). Total number of GCCs in India are 1580+. The total installed GCC talent is 1.66 Mn+. Over 45 new data centers are expected to come up in India by 2025. Data centers in India have attracted investment of $10 Bn since 2020. There are 286.94 Mn Registered Users on the Digi locker in India.
Indian SaaS companies saw 2x growth in share of global markets. India has as many as 59 number of SaaS unicorns and potential unicorns. Internet connections rose to 918.19 Mn in 2022 from 251 Mn in 2014.
Optical fiber in panchayats have increased from less than 100 in 2014 to 1.7 Lakh panchayats in 2022. As per NASSCOM, the total amount of IT export is estimated to be $200 Bn in FY 2024.
GROWTH DRIVERS
Blockchain
The Ministry of Electronics and Information Technology released the National Strategy on Blockchain to reduce frauds, speed up enforcement of contracts, and increase the transparency of transactions.
Remote Working
Increased focus on remote working and cloud enablement
The National Optical Fibre Network (NOFN)
1.78 Lakh Gram Panchayats connected by optical fibre
Digital India Programme
India is the 2nd Fastest Digitizing Economy Globally
Start-up revolution
IoT, machine learning, artificial intelligence and healthcare
Artificial Intelligence
AI & new-age technology to boost India's annual growth rate by 1.3% by 2035 (NITI Aayog white paper)