IT spending in India to hit $87.1B in 2018

Riding on the wave of digital transformation, the IT spending in India is forecast to hit $87.1 billion in 2018 — an increase of 9.2 percent from $79.7 billion (estimated) this year, Gartner said on Tuesday.

Enterprise software and IT services continue to exhibit strong growth, with devices segment driving the majority of overall IT spending in the country.

Projected to grow at 17.9 percent in 2017, software spending will grow another 15.3 percent in 2018 to reach $5.7 billion.

IT services spending is on pace to grow 15.7 percent in 2017 to reach $12.6 billion, an increase of 13.8 percent in 2018 to reach $14.3 billion.

"The IT buying landscape is changing. Digital business transformation is creating connected platforms and new industry revenue streams," said Ganesh Ramamoorthy, Managing Vice President at Gartner India.

"Organisations that are not creating new digital business models or new ways to engage constituents or customers are falling behind. Those vendors that do not move more quickly than their clients, will be left behind," noted Ramamoorthy during the "Gartner Symposium/ITxpo 2017" at Panaji.

The devices segment is expected to register an increase of 23.2 percent in 2017 and 13 percent in 2018.

"Indian CIOs must, therefore, urgently embrace digital transformation. They must build the momentum to scale and create value by amplifying the power of their people, their organisation culture, and their technology platform to deliver breakthrough value," said Ramamoorthy.