Indian IT moving up value chain with young entrepreneurs focussing on software products

Our Bureau | | Updated on: Nov 27, 2019

India is emerging as one of the fastest growing digital ecosystems, and this can be sustained with data, talent, innovation, markets and right regulatory framework, said Rajiv Kumar, Union Joint Secretary, Ministry of Electronics & Information Technology.

Addressing the SEPC, CII 5th Global Exhibition on Services meet at a session on ‘Software Products for Innovation and Growth’, Kumar said “Globally, there will be a $1 trillion opportunity in the software product sector by 2025. Currently the global market is valued at $438 billion and India’s share is minuscule.”

He said that “Out of the total software business of $8.2 billion in the country our exports amount to just $2 billion. India has done well in software services and the next big opportunity is in software products.”

Young entrepreneurs are focusing on software products and trying to exploit the possibilities that have arisen due to emergence of cloud infrastructure, alternative delivery models including off-the-shelf and SaaS (cloud) based software products and mobile based delivery model apart from Big Data and Internet of Things (IoT) ecosystem resulting in the convergence of hardware with software. To realise this growth potential in the next six-seven years, industry and Government need to act together.

Rajiv Khandpal, Union Joint Secretary & CFO, Government – e-marketplace (GeM) said that the Government e-marketplace is the fastest growing as compared to similar initiatives across the world. The platform has 40,000 buyers, three lakh sellers and 15.10 lakh products valued at ₹39,000 crore.”

“It is one of the most inclusive marketplaces in the world comprising of 20 per cent MSMEs and start-up gross merchandise value is at ₹600 crore. GeM has created a gross merchandise value of $5.5 billion in a short span of 3 years.”

KS Viswanathan, Vice-President (Industry Initiatives) Nasscom, said, “We need to devise a mechanism to boost consumption. Most products developed by Indian companies are consumed by multinational companies.”

Published on November 27, 2019
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