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Nasscom expects revival in tech spends, demand uptick in US in FY19

Nasscom President R Chandrasekhar also exuded confidence that the industry would be able to meet this year's growth target

Press Trust of India  |  New Delhi 

File photo of IT services
File photo of IT services

Industry body is expecting the $150-billion Indian to deliver a strong performance next fiscal on revival in tech spends of the and growth from the US clients.

"There are reasons to be optimistic about the year ahead (2018-19). We continue to see that there are green shoots... The side prognosis looks positive," President R Chandrasekhar told PTI.

Elaborating on the positive cues, Chandrasekhar said he expects a revival of (into technology) and a greater hardening of in the US.

"There is also a lot of re-strategising by the Indian companies as well," Chandrasekhar pointed out.

He added that companies are also focusing on re-skilling on new technologies to drive growth.

"All of this should take full shape in the next few months... All of this would translate into more positive outcome in 2019," he said.

He also exuded confidence that the industry would be able to meet this year's growth target.

Outlining the industry's annual guidance in June this year, had said the Indian would grow by 7-8 per cent this fiscal, the same as the previous year, while the domestic infotech industry would expand at 10-11 per cent during the period.

A number of issues like stricter work visa regulations in key markets like the US and the UK and an uncertain business environment have been main concerns for the industry.

Chandrasekhar said the industry should not be worried about protectionism as the number of visas issued has not changed.

"The cap of 65,000 remains, there is no change in that. The dependence on visas (for Indian companies) has, however, come down. It is the tech and business trends that are far more important (to focus on)...automation for example," he said.

Chandrasekhar said that member companies are making in skilling their workforce in new areas like artificial intelligence and machine learning to ensure that revenues grow along with increase in efficiency.

The industry body is working with its member companies and the central and state governments to also set up centres of excellence (COEs).

"These CoEs are a platform to connect companies in these emerging areas, especially in terms of finding mentors. They are also zones of collaboration where teams can work together," he said.

has already set up a centre focusing on of Things or in Bengaluru. The government has now approved an extension of that to three more centres in Gurugram, Ahmedabad and Visakhapatnam, he said.

"That extension is underway...and we are trying to systematically look at various applications of in different areas, be in manufacturing, healthcare, agriculture, energy amongst others. Each of these centres will focus on certain domains," he added.

Put simply, the of things (IoT) refers to a network of connected devices, automobiles, consumer appliances and various gadgets with sensors that allow these machines to collect and exchange information.

First Published: Sun, September 24 2017. 16:21 IST