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Mumbai, India, October 12, 2014

Gartner Says Government IT Spending in India Forecast to Reach $7.2 Billion in 2015

Government IT spending in India will total $7.2 billion  in 2015, a 5 percent increase over 2014, according to Gartner, Inc. Government IT spending is on pace to total $ 6.6 billion in 2014.

This forecast includes spending by the  government sector (government is composed of state and regional government and central government agencies.) on internal IT (including personnel), hardware, software, external IT services and telecommunications.

“IT services, which includes consulting, implementation, IT outsourcing and business process outsourcing, will be the largest overall IT government spending category through 2018, “ said Anurag Gupta, research director at Gartner. “IT services are expected to grow 10.9 percent in 2014 to reach $1.8 billion in 2015, up from $1.6 billion in 2014 – with the business process outsourcing segment growing 22 percent during 2014.”

Internal services will achieve a growth rate of 9.9 percent in 2014. Internal services refer to salaries and benefits paid to the information services staff of an organization. The information services staff includes all company employees that plan, develop, implement and maintain information systems. The software market will achieve the highest growth rate within spending categories. Government spending on software will total $788 million in 2014, and it will grow to $910 million  in 2015. Software spending will be led by growth in vertical specific software (software applications that are unique to a vertical industry. These are stand-alone applications that are not modules or extensions of horizontal applications).

“India has a new government in power with the underlying promise of ‘Less Government & More Governance’. The delivery of a citizen-centric and transparent government is only possible through the extensive use of technology and by leveraging digital government,”  said Mr. Gupta.”We expect a focus on expanding broadband penetration, accelerating digitisation of core government processes, leveraging mobility to engage the citizens, cloud initiatives and public private partnership. India has ambitious plans to build several smart cities, and this will create new opportunities.”

Further information on government sector IT spending is available in the Gartner report, “

Forecast: Enterprise IT Spending by Vertical Industry Market, Worldwide, 2012-2018, 3Q14 Update

.” The report is available on Gartner's website at http://www.gartner.com/document/2868719 .  The forecasts provide total enterprise IT spending, including internal spending and multiple lines of detail for spending on hardware, software, IT services, and telecommunications for vertical industries and 43 countries within seven geographies.

About Gartner Symposium/ITxpo

Gartner Symposium/ITxpo is the world's most important gathering of CIOs and other senior IT executives. This event delivers independent and objective content with the authority of the world's leading IT research and advisory organization, and provides access to the latest solutions from key technology providers. Gartner's annual Symposium/ITxpo events are key components of attendees' annual planning efforts. IT executives rely on these events to gain insight into how their organizations can use IT to address business challenges and improve operational efficiency.

Additional information for Gartner Symposium/ITxpo 2014 in Goa, October 14-17, is available at www.gartner.com/in/symposium. Members of the media can register for the event by contacting Sony Shetty at sony.shetty@gartner.com.

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

Upcoming dates and locations for Gartner Symposium/ITxpo include:

October 14-17, Goa, India: www.gartner.com/in/symposium

October 27-30, Sao Paulo, Brazil: www.gartner.com/br/symposium

October 28-30, Tokyo, Japan: www.gartner.com/jp/symposium

November 9-13, Barcelona, Spain: www.gartner.com/eu/symposium

November 17-20, Gold Coast, Australia: www.gartner.com/au/symposium

 

About Gartner

Gartner, Inc. (NYSE: IT), is the world’s leading research and advisory company and a member of the S&P 500. We equip business leaders with indispensable insights, advice and tools to achieve their mission-critical priorities today and build the successful organizations of tomorrow.

Our unmatched combination of expert-led, practitioner-sourced and data-driven research steers clients toward the right decisions on the issues that matter most. We are a trusted advisor and objective resource for more than 15,000 organizations in more than 100 countries — across all major functions, in every industry and enterprise size.

To learn more about how we help decision makers fuel the future of business, visit gartner.com.

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