Information Technology in India 2020- (History of IT and Future of IT)

Information Technology in India 2020-History of IT

India is the largest exporter of IT. Exports dominate the Indian IT industry & it consists of around 79% of the industry's total revenue. In the domestic market, encouraging growth rate has been observed as well. The industry's share of total India exports which includes merchandise & services saw a giant leap from less than 4% in FY 1998 to almost 25 % in FY 2012. Around 40% of India's G.D.P. is based upon technologically inclined services & 30% of export earnings as of 2006.

Information Technology (IT) in India is an industry with immense growth potential. It is flourishing at a great pace.
It has two segments:

• IT services.
• Business process outsourcing ( B.P.O. ).

It must be mentioned that this sector has significantly added to India's G.D.P.

It is noteworthy that this sector has significantly added to India's G.D.P.  Its share has gone up from 1.2% in 1998 to 7.7% in 2017.

The top  Indian IT services providers are Tata Consultancy Services, Infosys, Wipro, HCL Technologies & Tech Mahindra.

NASSCOM has gone on record to say that, this sector's aggregated revenue is US $ 180 billion in 2019 with export revenue amounting to US $ 99 billion & the domestic revenue touching US $ 48 billion reflecting a growth of over 13% percent. As per the latest data of 2020, the IT workforce in India is having a strength of 4.36 million employees.

The contribution being made by the IT industry towards India's economy has led to a steady growth of the Indian Economy. Various international organizations have set up their companies in India. India's economy has changed to a great degree from an agricultural economy to a knowledge-driven economy. IT sector is currently generating more than 10 million employments. India is one of the giants in IT services. IT sector has made India one of the powerhouses in Technological Services. India is a major player & is a force to reckon with in such services. IT sector has changed the face of the Indian Economy. The entire world has taken note of this fact. India has made a good infrastructure & owing to skillful resources in terms of manpower & other facilities India is ruling the roost as far as the IT industry is concerned.

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Back to History (History of IT)

India's IT industry came into existence in 1967 at Mumbai with the establishment of Tata Group in partnership with Burroughs. The first software export zone was set up in 1973. In the 1980's it was reported that more than 80% of the country's software exports took place from this software export zone alone.

A task force was set up which produced an extensive background report on the state of technology in India. The task force acted swiftly, analyzed the whole situations & recommended an Action plan with 108 measures. It took into consideration the point of view of various stakeholders including the Central Government, State Government agencies, Universities as well Software industry. A comprehensive policy was made which was consistent & capable of delivering the goods.

India's IT sector faced a lot of challenges early on. In the 1970's India's economy was state-controlled therefore, the IT industry got subjected to an unfriendly environment. In the year 1984, Mr Rajiv Gandhi came to power & under his leadership IT sector got an impetus as well as a conducive environment. A New Computer policy was introduced which not only granted a package, but at the same time import tariffs on Softwares & hardware were reduced to the tune of 60%. Software exports were delicensed due to which banks could be approached for finance. Owing to all such initiatives and a proper support system, the IT sector got enough momentum in India. Foreign companies also started investing in India in this sector which prompted the Government to give more priorities & privileges to this sector.

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Regulated VSAT links became visible in 1994. In 1991, the Department of Electronics created a corporation called as Software Technology Park of India ( S.T.P.I.), owned by the Government. Such STPI's were set up all across the nation in various cities, by virtue of which Satellite Links were made available to the Firms. In the year 1993, the Government allowed individual companies to own dedicated links therefore, work done in India could be transmitted overseas directly.

On June 25, 2002, India & European Union decided to go for bilateral cooperation related to Science & Technology. India holds observer status at CERN, while a joint India - EU Software Education & Development Center will be located in Bangalore.

Major information technology hubs of India 

Bangalore

It is also called as IT capital of India. This city is considered as the global IT hub of India. Maximum software companies in India are operating from Bangalore therefore, it is also known as India's Silicon Valley. Some Important Tech Parks are Bagmane Tech Park, Embassy Golf Links, Embassy TechVillage, Manyata Tech Park etc.

Chandigarh

It is a place which has enough potential for the IT sector therefore, it is considered as one of the growing International IT services & outsourcing exporters. World trade center is the next upcoming tech Park.

Chennai

It has got a very good infrastructure & the same is strengthening this IT outsourcing destination. This place has a dedicated expressway also known as the IT expressway. Some key tech Parks are Mahindra World city, Olympia Tech Park, DLF SEZ. Tidel Park in Chennai was Asia's largest IT park when it came into existence. Some major software companies are operating from Chennai & have made this place as their base.

Hyderabad

This place is called a High tech city. This city is India's second-biggest hub of IT exporter. Microsoft  Development Centre which is the first of its kind is also situated out here. Important Tech & Pharma parks are HITEC City, Genome valley & Hyderabad Pharma city.

Pune

It is regarded as a leading IT service Center. One of the biggest IT Park, Rajiv Gandhi IT park is situated here. More than 50 IT companies are operating from Pune. The reduction of prices in Real Estate has been one of the primary reasons, Pune has become one of the most preferred locations for IT companies.

NCR ( Delhi, Noida & Gurugram )

A lot of MNC's related to the IT industry have opted to invest in this place. The presence of a lot of Engineering Colleges in & around Delhi helps these MNC's to recruit well-qualified graduates.

Conclusion:

This article is a comprehensive article regarding the growth, challenges as well as the current status of the IT industry in India. This article has stated how the IT industry has evolved in India & how it has strengthened India's Economy and made India a powerful Country. The contribution of the IT sector has been immense in the context of India. It has created job avenues and is proving excellent services to various clients and customers all over the World. The government, various agencies, software companies, policymakers & all other relevant entities have paid a  pivotal role in the growth of the IT sector in India.

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