India has become a “center of attraction” for global investors. Presently, a large numbers of entrepreneurs are concentrating on the Indian market. Despite of global economic instability, India is still performing well compare to a large numbers of developed countries worldwide. A research analysis firm Gartner has reportedly stated that India’s enterprise software market could grow to 13% this year, and its revenue is expected to reach $3.22 billion USD. However, Indian enterprise software market is estimated to maintain 13.6% of compound annual growth rate (CAGR) in between 2009 to 2016–definitely, it will have third highest growth rate across the world.
Principal research analyst at Gartner –Asheesh Raina—said, “With Indian enterprises continuing to embrace IT to improve productivity and drive growth, penetration of ICT infrastructure has been growing rapidly during the past decade. The primary drivers of growth have been domestic demand, the growing maturity of users and incremental enhancements in the technology. India also enjoys a rich presence of all international software and hardware vendors, backed by a very strong ecosystem of system integrators, service providers and business partners. A combination of high domestic demand, presence of global vendors and entry of new small vendors with innovative products have made the overall ecosystem apt for robust growth. End users in Asia/Pacific are expecting to increase their spending on application and infrastructure software, with China and India being the most optimistic and leading the way for budget increases, followed closely by Malaysia and South Korea.”
However, the research analysis firm has stated that India could become the fourth largest enterprise software market by 2012 in Asia/Pacific. According to the firm, alone India is going to account 11% market share of total Asia/pacific –which is expected to be USD 29.33 billion by end of this year. Likewise, alone India will have 1.15% of the market participation worldwide by this year. The total worldwide enterprise market share is expected to be USD 280 billion in 2012.
The firm has also revealed that alone India will account 1.5% to the total enterprise software market worldwide by 2016–which is expected to be $361 billion (USD). India will contribute 12.1 % of total enterprise software market of Asia/Pacific by 2016 which is equivalent to $5.1 billion by 2016.
Indian market is currently lagging in the terms of tools, but the rapid economic growth and in-depth customer service related outsourcing has boosted the enterprise software market across the country. Presently, entrepreneurs in the country are emphasizing on the operating System, application development, DBMS and AIM. But, in the future, the growth of five sectors– Web conferencing, Team collaboration, enetreprise content management, CRM and ERP–are more likely to be expected.