According to Nasscom analysis, released at Nasscom leadership summit in Mumbai, on Wednesday, export of IT services was pegged at $18 billion mark and likely to cross $23 billion in 2008-09.
In ITES-BPO segment, export earnings were $8.4 billion in 2007-08 which may touch $11-billion mark in 2008-09 growing at a rate of 33 per cent. But domestic market remained static.
New geographies
While USA and UK remained largest export markets in 2007, the industry is spreading to new geographies, most notable of which is continental Europe where Indian business has grown at a compounded rate of 55 per cent in the last three years.
The home market for hardware segment is increasing. It has recorded $8 billion business in 2007-08 and likely to generate $11.5 billion in 2008-09. While overall picture appears to be rosy one, there are areas of concerns related to availability of skilled manpower and global economic downturn. “Talent, manpower and infrastructure issues need to be addressed,” says Nasscom President Som Mittal.
After years of dormancy, engineering services and IT research and development is showing some signs of growth. This sector has grown from $2.9 billion in 2004-05 to $5.3 billion in 2006-07 and $6.5 billion 2007-08.
In coming fiscal, says Nasscom, engineering services, R&D and software products may generate business worth $8.5 billion.
If the current trend continues, the industry may achieve its aspired target of $60 billion in software and services exports and $73-75 billion in overall software and services revenues, by 2010-11.
