Gartner

Newsroom

Mumbai, India, May 14, 2012 View All Press Releases

Gartner Says Indian IT Infrastructure Market To Reach $2.05 Billion In 2012

Key Issues Facing Data Centers Being Examined At Gartner Infrastructure Operations and Data Center Summit, May 14-15 in Mumbai

The Indian IT infrastructure market comprising of servers, storage and networking equipment will reach US$2.05 billion in 2012, a 10.3 percent increase over 2011, according to Gartner, Inc. The IT infrastructure market is expected to reach $3.01 billion by 2016.

Gartner analysts are providing the latest outlook on the Indian data center market during the inaugural Gartner Infrastructure, Operations and Data Center Summit, which is taking place here through May 15.

“Technology’s role in the enterprise is increasing and IT’s closer alignment with business, and vice versa, is a topic of much focus within Indian enterprises today,” said Aman Munglani, research director at Gartner.” Soon there will be a time when there is no IT strategy, only a business strategy, as leading CIOs are seeing technology as a business enabler and a engine for innovation.”

Revenue growth will be primarily driven by ongoing data center modernization, as well as new data center build outs. Servers are the largest segment of the Indian IT infrastructure market, with revenue forecast to reach $754.5 million in 2012, and grow to $967.2 million in 2016 (see Table 1).

Table 1: Indian IT Infrastructure Revenue By Technology (Millions of U.S. Dollars)

 

2011

2012

2013

2014

2015

2016

2011-2016 CAGR (%)

Servers

728.6

754.5

805.8

857.7

909.9

967.2

5.8

Storage

354.4

439.4

519.2

610.7

712.5

842.4

18.9

Enterprise LAN Equipment

 

509.3

 

575.1

 

657.1

 

734.2

 

783.2

 

807.0

 

9.6

Enterprise WAN Equipment

 

270.9

 

285.8

 

305.9

 

332.1

 

359.2

 

390.9

 

7.6

Total

1,863.2

2,054.7

2,287.9

2,534.8

2,764.7

3,007.5

10.1

Source: Gartner (May 2012)

 

The external controller-based storage disk market in India is expected to grow from $439.4 million in end-user spending to $842 million in 2016. This is the fastest growing segment within the IT infrastructure market. The enterprise network equipment market in India, which includes enterprise LAN and WAN equipment, is expected to grow from $861 million in 2012 to $1.2 billion in 2016.

“The key growth driver for the data center market is the ongoing investment in large captive data centers coupled with the capacity growth witnessed within the data center service provider space. Indian organizations are heavily focusing on optimizing their infrastructure capacity by implementing virtualization and incorporating newer ways of data center design,” said Mr. Munglani. “Though India is in the early stages of cloud adoption, cloud service providers will also be a key contributor to the infrastructure consumption, especially for commodity type, scalable technologies, such as scale out systems and extreme low energy servers.”

“The nexus of IT forces, such as growing the mobility installed base, increasing social media penetration in the consumer and the enterprise space, coupled with gradual adoption of cloud, will drive fundamental shifts in the way data center managers design, operate and manage their data centers and associated partners,“ said Naveen Mishra, principal research analyst Gartner.

“Indian IT organizations are making a big shift from a distributed IT setup to a more manageable and efficient centralized model, leading to consolidation of branch and remote IT resources into fewer, but larger data centers,“ said Naresh Singh, principal research analyst with Gartner. “ Data center site consolidations and relocations are happening, especially for the in-house data center owned by organizations.”

Gartner IT Infrastructure Operations and Data Center Summit 2012

Gartner analysts will explore the trends and technologies including virtualization, cloud computing, IT operations, Data Center Power & Cooling and Cost Optimization at the first Gartner IT Infrastructure Operations & Data Center Summit to be held in Mumbai on 14 - 15 May 2012 at the Grand Hyatt. For further information about the Gartner IODC summit, please visit www.gartner.com/technology/summits/apac/data-center-india/index.jsp.

Journalists can register by contacting Sony Shetty, Gartner PR on +91 9820900036 or sony.shetty@gartner.com.

Additional information from the event will be shared on Twitter at http://twitter.com/Gartner_inc and using #GartnerDC

Contacts
About Gartner

Gartner, Inc. (NYSE: IT) is the world's leading information technology research and advisory company. Gartner delivers the technology-related insight necessary for its clients to make the right decisions, every day. From CIOs and senior IT leaders in corporations and government agencies, to business leaders in high-tech and telecom enterprises and professional services firms, to technology investors, Gartner is a valuable partner in more than 14,000 distinct organizations. Through the resources of Gartner Research, Gartner Executive Programs, Gartner Consulting and Gartner Events, Gartner works with every client to research, analyze and interpret the business of IT within the context of their individual role. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, USA, and has 6,100 associates, including more than 1,460 research analysts and consultants, and clients in 85 countries. For more information, visit www.gartner.com.

Comments or opinions expressed on this blog are those of the individual contributors only, and do not necessarily represent the views of Gartner, Inc. or its management. Readers may copy and redistribute blog postings on other blogs, or otherwise for private, non-commercial or journalistic purposes. This content may not be used for any other purposes in any other formats or media. The content on this blog is provided on an "as-is" basis. Gartner shall not be liable for any damages whatsoever arising out of the content or use of this blog.

Gartner Insight
Gartner Webinars