Information Technology-A New Form Of Business
Ronnieta Sarkar | 12 Feb 2011
Along with the new technologies, the Information Technology Industry started contributing in the Indian economy. An important part of India's GDP is developed by the Software sectors in India.
INDIA's SOFTWARE and service exports have been rising rapidly. The annual growth rate is 20% in IT services and 60% in IT enabled services, such as call centres, Business Process Out Sourcing (BPO) and other administrative support operations.
Software exports now make up 20% of India’s total export revenue, up from 4.9% in 1997. Though India accounts for just about 3% of the world market for the Information Technology services, this sector has been growing at a scorching pace, helped by a large pool of English speaking workers, 6.5 million engineers and the increasing tribe of tech-savvy entrepreneurs in the country.
The information technology industry currently accounts for 7.7% of India’s GDP by 2008. Software and IT enabled services have emerged as a niche sector for India. This was the one of the fastest growing sectors in the last decade with a compound annual growth rate exceeding 50 per cent. Software services exports increased from US $ 0.50 million in 1990 to $ 5.9 billion in 2000-01 and $ 12.0 billion in 2004-05, recording a 34% growth. A compound annual growth of over 25% per annum was expected over the next five years even on the expanding base.