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India ICT Spending to Reach $71.5 Bn by '13
Source: voicendata.ciol.com
Source Date: Thursday, October 11, 2012
Focus: Electronic and Mobile Government
Country: India
Created: Oct 16, 2012

India's total ICT spending is expected to touch $71.5 billion by 2013, telecom being the major contributor, a recent study by Gartner revealed. This is a 7.7 percent increase from the $66.4 billion forecasted for 2012, according to the research firm.

Of the total estimated 71.5 bn, spending on telecom would contribute 47.8 bn during the period on review. The telecommunications market is the largest IT segment in India with IT spending forecast to reach $47.8 billion in 2013, followed by the IT services market with spending of $10.3billion. The computing hardware market in India is projected to reach $9.5 billion in 2013, and software spending will total nearly $4.0 billion. Software will record the strongest revenue growth at 15 percent, IT services will grow at 12 percent. The telecom segment, which accounts for 67 percent of the Indian ICT market, is set to grow at 7 percent revenue growth in 2013.

The research report also revealed that in 2016, more than 2.7 billion mobile devices will be purchased globally, two-thirds of the workforce will own a smartphone, and 40 percent of the workforce will be mobile. With this new channel to customers and employees, organizations should design their business around mobile. This will have a positive impact on application delivery, employee productivity and process work flows.

In less than 2 years, 20 percent of sales organizations will use iPads as the primary mobile platform for their field sales force. By 2018, 70 percent of mobile workers will use a tablet or a hybrid device that has tablet characteristics. Asset ownership is also changing- by 2016 half of all non-PC devices used in business will be purchased by employees; and by the end of the decade, half of all devices in business will be.

The firm also predicted that cloud solutions would take a big leap in the near future.Between 2011 and 2016 the market for Business Process Services in the cloud will double in size to nearly $145 billion. The cloud combines the industrialization of IT capabilities and the disruptive impact of new IT-led business models. However, the shift away from traditional IT acquisition models to public cloud services is still in the very early stages in India. Large enterprises in India are gravitating toward a private cloud model to better understand the constructs of cloud computing within their own premises before deciding to move some applications onto a public cloud model.

Peter Sondergaard, senior vice president and global head of research at Gartner, provided the latest outlook for the IT industry to an audience of more than 700 CIOs and IT leaders at Gartner Symposium/ITxpo being held at Goa.
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