India may become global software superpower by 2020: report

The report on the information and communication technology sector analyses three probable scenarios for it, which requires new investments in education and infrastructure development for supporting continued growth.

The scenario considered most promising in the future envisages the country to become the global leader in IT innovation by the end of the next decade.

"The third scenario is most probable. Here, India is most likely to become the software superpower of the world by 2020, provided the country's infrastructure and soft skill development is completed as per plans and India continues to maintain its competitive advantage," Gartner's Distinguished Analyst Regional Research Director (India) Partha Iyengar said.

In this scenario, India would have world-class infrastructure and innovative business-centered workers who graduate from college in sufficient number and quality to meet the needs of the domestic and global export market, the report said.

At present, the United States is considered the leader in IT software, with the country boasting of giants such as Microsoft, Apple, Hewlett Packard and Cisco.

The country is forecast to reach the pinnacle of the world's software market if strong steps are taken to improve infrastructure led by revamped policies to attract global foreign direct investments.

The other two possibilities, which have been considered in Gartner's report include, scenario one in which the IT industry would become completely inward looking and go back to the 1990-96 era of irrelevance from a global perspective.

However, the report stated, "this scenario is the bleakest for India."
Another future possibility is the second scenario, where the IT industry continues growing, but struggles in terms of moving to higher-value work delivered out of India and its overall importance in the global IT landscape starts to diminish.

The report stated that this scenario is possible when political and social disputes prevent any significant progress, despite incremental steps to improve India's infrastructure.

The growth drivers for the IT industry include high growth of economy, primary education revamp, high quality labour pool and increased global geopolitical influence in the country.

"Strengthening any of the drivers would move India closer to Scenario 3," the report added.