NOVEMBER
2011
For updated information, please visit www.ibef.org
1
IT & ITeS
NOVEMBER
2011
Contents
Advantage India Market overview and trends Growth drivers Opportunities Success story: Infosys Useful information
For updated information, please visit www.ibef.org
2
IT & ITeS
Advantage India
NOVEMBER
2011
Growing demand
•
Global footprint
•
2020F
Market size: USD225 billion
Strong growth in export demand from new verticals Growing economy to propel rise in local demand
Indian IT firms have delivery centres across the world Industry well diversified across verticals like BFSI, telecom, retail
•
•
Advantage India
Competitive position
•
Policy support
• •
India has 60-70 per cent cost saving over source countries Already the leading destination for IT&ITeS, India’s market share is still rising
Tax holidays extended to IT sector SEZ scheme since 2005 to benefit IT companies with single window approval mechanism, tax benefits etc.
•
2011
Market size: USD76 billion
•
Huge talent pool
Source: Nasscom, Aranca Research Note: SEZ stands for Special Economic Zone BFSI stands for Banking, Financial Services and Insurance
For updated information, please visit www.ibef.org
ADVANTAGE INDIA
3
IT & ITeS
NOVEMBER
2011
Contents
Advantage India Market overview and trends Growth drivers Opportunities Success story: Infosys Useful information
For updated information, please visit www.ibef.org
4
IT & ITeS
NOVEMBER
2011
Evolution of the Indian IT sector
2005 onwards 2000-2005
• Indian firms become Multi National Companies with delivery centres across the globe • Indian firms make global acquisitions • IT sector employs over 2 million people directly and over 8 million indirectly
1995-2000
Pre - 1995
• By early 90s, US based companies begin to outsource work due to low cost and skilled talent pool of India