India’s strong economy, which remains the fastest-growing major economy in the world, has prompted its enterprises to increase investments pertaining to information and communications technology (ICT), with 85% of survey respondents willing to increase their ICT budgets in 2017, compared to 75% in 2016, according to GlobalData, a recognized leader in providing business information and analytics.
The company’s latest report states that Indian enterprises are investing in core technologies such as software, hardware, and IT services to improve their efficiency and productivity. Additionally, the government’s ‘Digital India’ campaign is helping Indian enterprises rework their technology investment strategies.
As data centers form an integral part of digital transformation, enterprises in India allocate a substantial proportion of their ICT budget to this domain. Indian respondents also aim to benefit from IT sourcing, as service support and help desk stands as the most popular outsourcing function.
Although cloud adoption is at a nascent stage in India, the information ministry’s guidelines to embrace cloud solutions is providing ICT vendors with the required impetus to grab these opportunities. Indian enterprises also invest in internet of things (IoT) to make use of the data generated for developing new business strategies.
Haseeb Ahmed Abdul, Technology Analyst for GlobalData, explains: “Indian enterprises are aiming to gain advantage over their competitors, and are looking to survive intense competitive market conditions through IT investments. Moreover, organizations prefer vendors that can offer an array of disruptive solutions with specific industry expertise.
“The long-term sustenance of macroeconomic stability, and structural and economic reforms implemented by the country can further widen the scope of ICT investments. The efforts to enhance productivity and the introduction of novel reforms could render India one of the most favorable destinations for ICT investments.”
– Information based on GlobalData’s report: ICT Investment Trends in India: Growing digital initiatives driving investment in technology.