IT sector will be back with a bangAug 10th, 2009 | By editor | Category: Education, Specials
The Indian IT industry has grown from $ 4 billion in revenues in 1998 to a $52 billion giant today, employing over 2 million people
Computer Engineering and Information Technology (IT) are magnificent fields of study and will offer exciting growth and awesome of opportunities in future too, despite the talk of recession. These days, industry and society are increasingly dependent on computer applications. Majority of the day to day affairs of organisations, governments and individuals are handled with the help of computers. Fields like commerce, economics, management, business, trade, sciences, enginee ring applications, medical applications, space applications, bio-informatics, etc. are becoming computer dependent and computer application oriented. Hence, Computer Engineering or IT field is emerging as biggest discipline. Numerous scientists, engineers, technologists, scholars and researchers are required to ease the efforts of the diversified fields. Day to day organisational and societal needs have also increased the demand for IT professionals.
Indian software industry has made significant contributions to the world of IT by gifting some of the IT leaders of the industry. The industry had performed a staggering growth rate of 50 percent during past years and has been sustaining global competition. India is moving to occupy the space of an IT superpower. The IT industry has grown from $ 4 billion in revenues in 1998 to a $52 billion giant today, employing over 2 million people. It’s contribution to India’s GDP has been remarkable.
India is the most favoured destination for IT and related fields including outsourcing. According to a research conducted by NASSCOM, Indian IT sector will employ more than 2.2 million Indians by 2010 even in this crisis. The industry has much to look forward in the next decade also.
To realise the industry’s full growth potential, it is imperative that the professional manpower should rethink, reshape their skills, break out of the traditional mould and reorient towards the growth of IT industry.
When the global recovery happens, it will happen sooner for the Indian IT industry, because we are part of the solution to the current problems.
Some of the announcements show that deals are going on but the velocity of deals is still slow. All these factors collectively create a number of opportunities in the IT sector.
According to a study by NASSCOM, the worst hit was not IT but other sectors like automobile, steel and allied sectors in US.
Protectionist measures such as restricting H-1B visas by the US government will not have any impact on India’s IT industry.
The study also reveals that, in the protectionist measures will hurt the US economy and would only delay the recovery of the US from the ongoing recession. India has been the most favoured destination for US IT needs.
US intellectual forum strongly appealed to the US government to increase the H-1B visas from the current level of 65,000 to 1,90,000 to quickly recover from the economic slump.
The H-1B visa legislation is likely to get amended which will fairly provide opportunities to Indian IT companies.
IT will continue to gain momentum; telecom and wireless will follow the trend. The immense expansion in networking technologies is expected to continue in the next decade also.
IT will bring drastic improvements in the quality of life as it impacts application domains and global competitiveness.
Even in the sluggish environment, the industry is performing extremely well.
The following expectations are derived by the governmental agencies despite the economic sluggishness:
Annual revenue estimated for the industry is US$87 billion for 2010.
Software and Services will contribute over 7.5% of the overall GDP growth of India
IT exports will constitute 35% of the total exports of India
There will be 2.2 million jobs in IT sector by 2010.
IT industry will attract FDI of US$ 4-5 billion
Market capitalisation of IT shares will be approximately US$225 billion.
India should be ready with talented professional to take up the overseas projects. IT industry across the globe adjusted with low profile and less talented professionals till last year.
Professionals from non-IT fields have taken majority of IT jobs because of no-availability of IT professionals.
This resulted in additional costs for training, long lead times of projects, low levels of efficiency, heavy maintenance costs and so on.
When the IT industry recovers from the present slump, Indian IT industry will absorb only qualified and skilled professionals from IT background.
The IT education and IT standards will have to be reoriented to grab the opportunities from the recovering economies.