IT software and services to touch $50 bn by 08-09

The annual survey on the performance of the Indian software and services sector for FY 2007-08 reports that the Indian IT-BPO industry (including domestic market) recorded an overall growth of 28 per cent (currency adjusted), clocking revenues of  $52 billion in FY07-08 up from $39.6 billion in FY06-07.

The software and services exports segment grew by 29 per cent (in $ terms) to register revenues of $40.4 billion in FY07-08, up from $31.4 billion in FY06-07. The domestic segment grew by 26 per cent (in INR) to register revenues of $11.6 billion in FY07-08.

 

Som Mittal, president, NASSCOM said, "Given that we are well on our way to achieve the target of $60 billion in exports by FY09-10, the industry is now focusing on improving productivity, efficiency, as well as opening up new markets and services. The next decade offers opportunities and challenges which will require new business models and the industry dynamics will also see significant changes."

Within the export segment, IT services exports have grown by 28 per cent (in $ terms)  to clock revenues of $23.1 billion; while BPO exports are up by 30 per cent (in $) registering revenues of $10.9 billion. Engineering services and products exports clocked revenues of $6.4 billion, growing at 29 per cent (in $) in FY 07 -08.                    
Nasscom reiterated that skill continues to be a constraint and urged IT/ITeS firms to go beyond the top 7 cities and into tier II and III cities.