IT Enabled Services
Summary:
India is the leading sourcing destination accounting for approximately 55% market share of $250 billion global services sourcing business.
The top 4 IT majors namely TCS, Infosys, Wipro, HCL Tech employ about 1 million people in the country.
To create differentiated offerings, leading players have started offering blockchain, artificial intelligence ideas.
Domestic revenues of the industry stood at UDF 45 billion while export revenues at USD 150 billion in FY 21.
Step 1
Setup
Tech and infrastructure, employee hiring and training, Delivery centers near clients
Step 2
Service Development
Customer requirement, product development, quality check
Step 3
Sales
Acquiring customers, fine tuning offering to fit needs, testing and deployment
Step 4
After sales
Bug fixes, updates and general support. Pitch for repeat / new business
Cost Drivers
Employee costs (research and development)
Sales and Marketing
Admin and other costs
Revenue Drivers
Support, after sales services
Subscription models
Cloud services
Growth Drivers
New technologies - AI, blockchain
Gov push for software development
Increasing domestic demand
IT spending in estimated to reach USD 93 billion in 2021, which is a 7.3% y-o-y growth, and further increase to USD 98.5 billion in 2022
Key Customers
Enterprises (BFSI, retail, etc.)
Consumers (mobile apps, etc.)
Key Players
TCS
Infosys
Wipro
HCL Technologies
Channels
Direct sales force (B2B)
Online (through Appstore, direct downloads)