India's Information Technology Sector: Comprehensive Industry Analysis Report | Scrolls
- Editor
- Sep 21
- 2 min read
by KarNivesh | 21 September, 2025
Overview of India’s Information Technology Sector
India’s Information Technology (IT) sector has established itself as a global powerhouse, driving the country’s digital economy and contributing significantly to GDP. With projected revenues of ₹17.57 lakh crore in FY 2024-25, the industry contributes around 7.5% of India’s GDP and employs over 10 million professionals. The sector spans software development, IT services, business process management (BPM), hardware manufacturing, cybersecurity, cloud computing, and emerging technologies like AI and blockchain.
Market Growth and Size
The Indian ICT market reached ₹9.59 lakh crore in 2024 and is projected to grow at a 13.1% CAGR to touch ₹32.87 lakh crore by 2034. Export revenues are a key driver, with IT exports projected at ₹17.57 lakh crore in FY 2024-25, representing 18% of global outsourcing spending. Domestic IT spending is also on the rise, expected to grow 11.2% to ₹13.39 lakh crore in 2025, fueled by rapid digitization and government initiatives.
Leading Companies
The sector is dominated by large firms:
Tata Consultancy Services (TCS) – Market cap: ₹11.47 lakh crore, Revenue: ₹2.43 lakh crore.
Infosys – Market cap: ₹6.39 lakh crore, Revenue: ₹1.56 lakh crore.
HCL Technologies – Market cap: ₹3.98 lakh crore, Revenue: ₹1.11 lakh crore.
Wipro – Market cap: ₹2.68 lakh crore, Revenue: ₹90,360 crore.
LTIMindtree – Market cap: ₹1.63 lakh crore, Revenue: ₹35,834 crore.
Mid-tier firms such as Tech Mahindra, Persistent Systems, Coforge, Mphasis, and Oracle Financial Services contribute significantly through niche services and innovation.
Trends and Innovations
The sector is undergoing rapid transformation with widespread adoption of AI, Generative AI, Machine Learning, cloud computing, IoT, and edge computing. By 2025, 75% of Indian enterprises are expected to integrate AI. Cybersecurity is another major growth area as Indian firms face over 2,000 cyberattacks weekly, prompting investment in AI-driven security tools and zero-trust architecture. Blockchain, quantum computing, and 5G-enabled applications are also gaining traction.
Future Outlook
By FY 2026, sector revenues are expected to exceed ₹25.11 lakh crore. Growth will be driven by AI, cloud adoption (public cloud market projected at ₹2.13 lakh crore by 2028), and domestic digitization. Companies focusing on sustainability, green computing, and outcome-based services are likely to lead the next phase of global competitiveness.
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