Decoding India’s IT Trends

Decoding India’s IT Trends

A quick recap of global events over the last five years could suffice as the history syllabus for the upcoming generations. From the pandemic and the Great Recession to political tensions and shifts in the job market—layoffs, the great resignation, quiet exits, AI advancements—these events have unfolded rapidly, shaping our world in a few short years. The aftereffects of the pandemic-induced recession were layoffs and a slowdown in hiring. | Decoding India’s IT Trends

Indian companies too faced the heat of global recession, as many tech giants in India have a presence in the US and other countries. The good news is that tech companies in America added an estimated 6000 workers last month, according to an analysis of US govt data by the Computing Technology Industry Association. 

The Growth of Indian IT Companies | Decoding India’s IT Trends

The presence of Indian IT companies in the US has grown with TCS employing 50,000 people, Infosys 35, 000, HCL Tech 24,000, Wipro 20,000, and LTIMindtree 6,500. These companies account for about 2% of the US tech industry workforce, according to an HDFC Securities report. 

The job growth was driven by hiring in technology services, software development, and cloud infrastructure. March saw an estimated 438,000 active tech job postings, with software developers and IT support specialists experiencing the largest increase in openings between February and March. 

According to a Gartner report, software spending in India is projected to grow at a record 18.6% in 2024. Indian CIOs continue to prioritize growth, customer experience, and operational efficiency while leveraging software assets in a challenging environment. Recurring revenue models are playing a significant role in driving software spending, with GenAI emerging as a pivotal trend for growth and innovation.

Spending on Software is expected to jump from -2.1% in 2023 to 16.9% in 2024, reaching $17.48 billion. 

Here are some specific trends in the Indian IT Market:

• Demand for Skilled Tech Talent 

Tech roles and the skill gap are changing. Tech skills like AI, Big Data Analytics, and IoT are in great demand.  The increased demand for Tech Talent, driven by digital transformation, has further widened the skill gap. 

• Tier 2-3 cities gaining popularity 

Tier 2-3 cities are emerging as significant contributors, constituting 15% of the talent pool, showcasing India’s strong education footprint. 

• Future Trends & Skills 

AI, Quantum Computing, IoT, and Big Data Analytics are key trends in the Tech space, emphasizing the need for advanced skills and upskilling initiatives. 

Tech companies already see AI as the next big thing driving innovation and productivity and are spending huge amounts of money to support large-scale Gen AI projects. 

Thus, India's IT industry is poised for continued growth and innovation, driven by evolving trends and a robust talent ecosystem.

(Author:- Karishma is a content writer at Techdoquest. She gives youthful and refreshing perspectives on whatever she writes about.)