IT services biz grew at 6% in 2020
The reduced growth rate was due to the impact of the Covid-19 pandemic on businesses in the country
New Delhi THE Indian IT and Business Services market was valued at $13.41 billion in 2020 and recorded a 5.41 per cent year-over-year (YoY) growth as compared to 8.43 per cent in 2019, an International Data Corporation (IDC) report showed on Tuesday. Of the IT and Business Services market, the IT Services market contributed 77.06 per cent and grew by 5.97 per cent in 2020 compared to the 8.91 per cent growth in 2019.
The reduced growth rate was due to the impact of the Covid-19 pandemic on businesses in the country. The IT and Business Services market is projected to grow at a CAGR of 7.18 per cent between 2020-2025 and reach $18.97 billion by the end of 2025, the IDC said.
"During the second half of 2020, apart from cloud adoption and IT security, enterprises also started to increasingly invest in technologies such as artificial intelligence, machine learning, and analytics for solutions like conversational AI and Chatbots, fraud prevention, demand forecasting, and so on., which would help streamline their business operations," said Harish Krishnakumar, Senior Market Analyst, IT Services, IDC India.