Size of IT industry in India: The Indian IT industry is large: more than 2 million people work here. Of these, about 1.5 million work on exports i.e. overseas contracts, while the rest work in the domestic market.
Offshoring: Indian IT companies have pioneered the ‘offshore’ model. Thus, instead of doing work ‘onsite’ i.e. by going to work at the client’s company abroad, these companies have set up processes to get this work done in India. This results in much lower costs for the client company. By far, the biggest market for such work is the US.
Top companies: Well-known Indian companies in this field include Infosys, TCS, Wipro & HCL Technologies. Multinational software companies like IBM, HP & Cognizant have also built an increasingly strong presence here.
In fact, there are an estimated 8000 IT firms in India. There are also thousands of other, non-IT companies in India & most of them have their own IT department, whether small or big.
Industry growth: Since 2001, the Indian IT sector has been growing at about 28% every year; in 2008, the sector grew at 28% to reach over $70 billion in revenues. In the same year, employment grew at 26%. There is still a lot of growth possible: Indian IT firms account for only 15% of the world market of outsourced offshored software valued at $380 billion.
English advantage: India has a large English speaking population – this is an advantage over many other countries. This is one reason why India is a preferred country for IT work. There are many new markets & areas where Indian firms are making a mark; these include the European & Japanese markets, software products, engineering services, remote infrastructure management, etc.