SMBs to double IT budget in 3 years, says Nasscom-F&S report
Updated: Jul 09, 2014 02:54:21pm
New Delhi, Jul 9 (KNN) India's small and medium businesses (SMBs) are expected to double their IT spend to over Rs 1 lakh crore (USD 18.6 billion) by 2017-18 as they take up new technologies like cloud computing and mobile solutions, a Nasscom-Frost and Sullivan (F&S) report has said.
The report said Indian SMBs spent about Rs 47,200 crore (USD 8.7 billion) on IT in 2012-13.
Nasscom President R Chandrashekhar said the sector faces significant challenges in the volatile business environment and technology can help them compete on the global platform.
Indian IT players needed to create specific solutions for the SMB sector, tailor-made to suit their specific needs, he added.
Software licensing and software as a service (SaaS) adoption by SMBs in India has been growing at a compounded annual growth rate (CAGR) of over 25 per cent and is expected to reach Rs 2,000 crore (USD 370 million) by 2017-18.
About 45 per cent was spent on hardware, 40 per cent was on IT services (implementation, support and training) and 15 per cent was on SaaS, it said.
Manufacturing contributed to nearly 21 per cent of domestic spend of SMB on IT, while education accounted for about 15 per cent.
F&S Associate Director Nishchal Khorana said investment in technology could help SMBs streamline operations, standardise processes, enhance productivity and quality of products and services. (KNN Bureau)
The report said Indian SMBs spent about Rs 47,200 crore (USD 8.7 billion) on IT in 2012-13.
Nasscom President R Chandrashekhar said the sector faces significant challenges in the volatile business environment and technology can help them compete on the global platform.
Indian IT players needed to create specific solutions for the SMB sector, tailor-made to suit their specific needs, he added.
Software licensing and software as a service (SaaS) adoption by SMBs in India has been growing at a compounded annual growth rate (CAGR) of over 25 per cent and is expected to reach Rs 2,000 crore (USD 370 million) by 2017-18.
About 45 per cent was spent on hardware, 40 per cent was on IT services (implementation, support and training) and 15 per cent was on SaaS, it said.
Manufacturing contributed to nearly 21 per cent of domestic spend of SMB on IT, while education accounted for about 15 per cent.
F&S Associate Director Nishchal Khorana said investment in technology could help SMBs streamline operations, standardise processes, enhance productivity and quality of products and services. (KNN Bureau)
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