Mid-market Investments to grow @ 17.2%: IDC

As per the India IT Market overview 2013-14 released by the International Data Corporation (IDC), it has been revealed that the IT spending in India is expected to grow to US$44.8 billion in 2014. This research has been done to the competitive landscape and the technology ecosystem in the immediate future.

Jaideep Mehta, Country General Manager, IDC India, stated, "IT Spending in India is expanding by $10 billion between 2012 and 2014. This is a significant market opportunity which opens the door for rapid revenue growth for IT vendors of all hues. We specifically see rapid growth in three growth sectors: emerging Tier-II and -III cities, emerging segments such as the upper mid-market, and emerging verticals such as education and healthcare".

"India's favourable demographic dividend will continue driving consumer spending on IT products (client devices and smartphones). Government and Enterprise IT investments will move into fast track mode post the elections – a lot will depend though on the new government's political and economic agenda," said Ravi Sharma, Research Manager, Consulting Group, IDC India.

The other key highlights of the report stated that Hosted Application Management and Hosting Infrastructure Services are expected to lead the demand for IT Services with a CAGR of 17  -  19%, followed by Network Management, Application Management, Desktop Management and Network Consulting & Integration that also experience good traction at 12–14%. IT Services, overall, are expected to grow at 10.3%. The consumer spending on IT is expected to grow at a rate of 26%. Enterprise IT spending may increase to 43% by 2016. Packaged Software is also projected to grow at the rate of 10.8%.