NEW DELHI: The Indian IT industry will be worth $38 billion in 2006-07 due to cross-border mergers and acquisitions, stable pricing model and a gradual positive shift in the outsourcing debate according to the National Association of Software and Service Companies (Nasscom) forecast.

The industry is projected to touch revenues of around $36-38 billion in 2006-07, representing a growth of between 25 per cent and 28 per cent.

"IT-ITeS (information technology enabled services) exports are expected to grow by 27-30 per cent in 2006-07, posting revenues between $29 billion and $31 billion. The domestic market too will grow at 20 per cent, based on the roll out of e-governance initiatives and automation of key sectors such as retail, healthcare, transportation and manufacturing, among others,'' a study by Nasscom said. The other factors influencing the growth are emergence of a more efficient global delivery model, the unbundling of large IT outsourcing deals with larger India-based delivery shares, and the bagging of large contract by the players.

The strong growth notched up by the industry tied in with the overall increase in offshore outsourcing by global majors. There was an increase in the scope and scale of the offshoring engagements and a focus on traditional services. Nasscom has announced the revenue statistics for the IT software and services industry for 2005-06, based on its own internal survey. — UNI

Printer friendly page  
Send this article to Friends by E-Mail