India’s IT spending to grow 6.7% in 2019 to $ 89 billion: Gartner

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Information technology spending in India is projected to see 6.7 % growth to $89.2 billion in 2019, said IT research firm Gartner in its forecast.

The country’s domestic market is expected to spend nearly $83.6 billion in IT this year.

Digital transformation of business processes across private and government run organizations continues to be one of the key drivers for this growth.

The research firm said both sectors have become adaptive to business model change and bring new practices, including development of new capabilities.

“Spending on devices (PCs, tablets and mobile phones) is set to total $33 billion in 2019, a growth of 7.4% year over year,” said Ganesh Ramamoorthy, managing vice president at Gartner, was quoted in the forecast.

He pointed out that mobile phones are contributing to the growth in the segment, and their growth is led by the continued shift from feature phones to smartphones. “The increasing demand for quality mobile phones has led to the rising average selling price of mobile phones in India, positioning India as having the third-fastest device market growth — behind Indonesia and South Africa.”

Among other segments, spending on IT services is forecast to experience the highest growth in 2019 with a 13.5% increase year over year.

In this segment, both the business process outsourcing (BPO) and consulting segments are bolstering the growth of IT services spending in India, said Gartner.

The BPO segment is projected to reach $1.7 billion and is on pace to achieve 18.5 percent growth, the highest 2019 growth rate of the IT services segment. The consulting segment is ranked second, totaling $4 billion — a 15.9 percent increase in 2019.

“The software as a service market is driving growth in almost all software segments in India, and the customer relationship management SaaS market in India is among the fastest growing in the world. Overall, enterprise software spending is forecast to amount to $6.3 billion and grow 12.9 % in 2019,” John Lovelock, research vice president at Gartner, quoted saying.

[“source=TimeOFIndia”]