Introduction
One of the biggest factors that have catapulted India among the leading technology driven counties is the booming IT sector. This particular industry has contributed to the tremendous growth of our economy and has helped in the growth of the country’s GDP.
India’s IT industry has come a long way and it regarded as a Mecca of innovation providing excellent technology solutions across the globe. Several global tech giants have opened shop to cater to the growing IT talent the country has to offer. As a result, our economy has transformed from an agricultural-based economy to a knowledge-driven economy.
The IT sector has attracted global biggies and this has helped the domestic economy to integrate with the world economy. It has transformed the lives of many people. It has enabled the residents of far-flung areas to connect to the mainstream via IT related technologies. It has given birth to e-governance practices, because of which people get easy access via e-health, e-education, e-ticketing etc. to the various governmental services.
Today almost everything can be done online whether it is shopping, ticketing, filing Income Tax returns, etc.
Key drivers of growth in the IT sector
Low cost of operation and tax advantages
Supportive government policies
Availability of technically skilled work force
Extensive use of IT technologies in major sectors such as telecom, BFSI.
Strong growth in export demand
Use of new technologies like cloud computing
Government established SEZs-
Government initiatives
With the opening of the economy in 1991-1992, various incentives were provided by both the state and central government for better emergence of the IT sector like opening up of exports, abolishing duties on imports of IT products, setting up Export Oriented Units, setting up of Software Technical Parks etc. The government of India has also set up a National Task Force on IT and Software development to investigate the possibility of strengthening the economy.
Key areas of interest
With this fast pace sharing of information attributed to the rapid development of the IT sector, Cyber security and quality management are important areas of concern. Various BPO companies in India have started adopting global quality standards like ISO 9001 for ensuring Quality Management and ISO 27000 for emphasizing information security.
Future prospects
As per the study conducted by NASSCOM’s, the revenues generated by the IT sector is worth USD 130 billion which will result in a positive metamorphosis of the Indian economy, pushing it towards high growth rates. It will have to face rising expenditures in verticals like automotive and healthcare. The government on the other hand will try to widen its e-governance measures.
The factors contributing towards the continuous growth of the IT sector is innovation. The IT industry is ever changing and it must always strive to come with something new and must respond to the needs of the dynamic environment. The IT sector should withstand the challenges it faces and stand tough in the face of challenges and try to provide more and more end-to-end technology solutions to their customer base to keep the impetus growing.
Conclusion
There is ample scope for the Indian IT sector in the coming years and its future is bright and vibrant. It is envisaged that the sector will take a giant leap, expand faster, and cover a wide geographical area.
