Pest of Computer Industry
I T A DV I S O RY S E RV I C E S
The Indian ICT industry
Enabling Global Competitiveness and Driving Innovation with Equitable Growth
A DV I S O RY
Foreword from CII
The Indian ICT Industry has witnessed excellent growth in the past two decades. Capitalizing on its advantages of talent pool, lower cost of operation and the innovative remote delivery model, India has established itself as a global leader in the ICT sector. Today, India is clearly acknowledged as the global services hub. However, the industry today is facing many challenges in terms of rising costs, availability of quality talent pool, security and IP protection and infrastructure concerns. This coupled with changing customer expectations and emergence of other low cost locations is further deepening the threat to the Indian ICT industry. To sustain the growth and achieve global leadership, the Indian ICT industry needs to move from being a low cost service provider to a high end solution provider. The industry needs to provide innovative solutions of higher value to the global customers. This innovation need not necessarily be in Products but could be in Services, Processes and even Business models. Innovation will lead to exponential growth and help the industry break out of the linear business growth. The success of such innovation will be far reaching and help us achieve global leadership quickly. For this, we need to create a culture or innovation and an ecosystem to nurture and encourage entrepreneurs. The Government, Industry, Institutes, Investors and other stakeholders need to come together to create such an ecosystem. While Innovation will lead to global competitiveness, growth and leadership, such growth needs to be equitable and broad-based. The growth should reach the tier 2 and 3 cities and shall not be limited to the major cities. The ICT industry’s growth should also touch the society - both rural and urban through technology led transformation solution. The ICT should also
The Indian ICT industry
Enabling Global Competitiveness and Driving Innovation with Equitable Growth
A DV I S O RY
Foreword from CII
The Indian ICT Industry has witnessed excellent growth in the past two decades. Capitalizing on its advantages of talent pool, lower cost of operation and the innovative remote delivery model, India has established itself as a global leader in the ICT sector. Today, India is clearly acknowledged as the global services hub. However, the industry today is facing many challenges in terms of rising costs, availability of quality talent pool, security and IP protection and infrastructure concerns. This coupled with changing customer expectations and emergence of other low cost locations is further deepening the threat to the Indian ICT industry. To sustain the growth and achieve global leadership, the Indian ICT industry needs to move from being a low cost service provider to a high end solution provider. The industry needs to provide innovative solutions of higher value to the global customers. This innovation need not necessarily be in Products but could be in Services, Processes and even Business models. Innovation will lead to exponential growth and help the industry break out of the linear business growth. The success of such innovation will be far reaching and help us achieve global leadership quickly. For this, we need to create a culture or innovation and an ecosystem to nurture and encourage entrepreneurs. The Government, Industry, Institutes, Investors and other stakeholders need to come together to create such an ecosystem. While Innovation will lead to global competitiveness, growth and leadership, such growth needs to be equitable and broad-based. The growth should reach the tier 2 and 3 cities and shall not be limited to the major cities. The ICT industry’s growth should also touch the society - both rural and urban through technology led transformation solution. The ICT should also