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Indian IT biz bounces back on both fronts, domestic & export: DQ survey

Smartphones drive domestic growth; exports triple to reach 21%

The Indian IT industry recorded a solid 19% growth in FY11 (2010-11) by clocking a total revenue of Rs 4380 billion (US$ 96.1 billion). US Dollar growth was even better, at 24%, taking the industry to just short of the $100 billion mark. The growth is a significant bounce-back for the industry which recorded just 8% growth in 2009-10, in the wake of the global recession in 2009 and 2010, which made both global and Indian companies cut back on their IT spending, according to the annual research conducted by industry journal Dataquest.
The annual research, reports that exports accounted for two-thirds(66.4%) of the industry while the domestic market accounted for the remaining one-third (33.6%) in FY 11. The domestic market stole a march over exports market by growing at 23% and posting revenues of Rs 1471.5 billion Exports clocked Rs 2911 billion , growing 17%.
IT services, a $ 64bn biz: While IT services exports jumped back, growing at 21% (vs 6% in FY 10) and engineering services exports grew 22% (compared to 6% in the previous year), BPO exports growth slowed down, growing just 7%, versus 13% in the previous year. The total services exports from India in FY 11 stands at $64 billion, including IT software/services and BPO.
Hewlett Packard India was the largest IT player in the domestic market followed by (HCL Systems, Ingram Micro India, Redington India and Cisco India) while TCS was the largest exporter from India, ( followed by Infosys, Cognizant, Wipro and HCL Technologies) as also the largest company across all categories.
Hardware Sales jump 28% Within the Indian domestic market, computer hardware sales jumped 28%. Software and services grew at 19% each, clearly indicating that enterprises have resumed their spend on new infrastructure creation and hardware replacement. However, certain segments within software, such as business intelligence (BI), did particularly well. BI grew at 38%. The segment, which had grown by 44% in FY 10, is the new focus for investment, among large enterprise CIOs, as top executives are now relying more and more on analytics to take business decisions, Dataquest notes.
The research also reveals that most of the consumer technology segments such as laptops, smartphones, and storage devices (MP3 players, digital cameras, consumer storage media) have recorded impressive growth. September 13 2011




    


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Indian IT biz bounces back on both fronts, domestic & export: DQ survey
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