Adoption of new liberal policies in India has given birth immense opportunities to its industries. Success story of India's Software Industry is a step in the same direction.
The Software Industry, which is a main component of the Information technology, has brought tremendous success for the emerging economy.
India's young aged manpower is the key behind this success story. Presently there are more than 500 software firms in the country.
Overview on India's Software Industry
According to statistics, country's software exports reached total revenues of Rs 46100 crores. The share of total Indian exports form 4.9 per cent in 1997 to 20.4 percent in 2002-03. It is expected that the industry will generate a total employment of around four millions peoples, which accounts for 7 per cent of India's total GDP as in the year 2008.
The year 1995-96 was a boom for the industry. The performance of the industry over the years is as follows:
(In terms of US $ millions)
1995-961996-971997-981998-991999-20002000-01*Domestic software Market490670920125017002450Software Exports73410851750265040006300Indian Software Industry122417552670390057008750
(* Source: NASSCOM)
India's Software Exports:
Software exports has major share in India's total exports. As of the year 2004-05, both software and services revenue grew by 32 percent to $ 22 billions and $ 28.5 billions in 2005-06.
According to NASSCOM, India's domestic market, grew by 24 per cent. Presently Indian companies have concentrated on only two largest IT service markets. They are USA and the UK. Even Canada, Japan, Germany and France represent huge growth potential in the industry.
Progress of IT Industry
(In terms of US $ billion)
Year2003-042004-052005-06*IT software and service exports9.212.015.2ITE-BPO exports188.8.131.52Domestic market184.108.40.206Total16.722.028.5
Source: Ministry of Communications and IT.
The credit goes to technical young peoples and English-speaking scientific professionals for the success in India's software industry. Presently for further strengthening the industry, the Government has stepped forward with more qualitative institutes.