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Home Technology

India IT spending to grow 2.6% in 2023, Gartner Reports

India IT spending is expected to increase 2.6 per cent in 2023 despite the rising tensions of global inflation and the weakening rupee, according to a forecast by Gartner Inc.

News Insider's Desk by News Insider's Desk
November 15, 2022
in Technology
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According to the latest forecast by Gartner Inc. released on Monday, Indian businesses will continue to increase their spending in key segments of information technology (IT) next year, as it is expected to increase by 2.6 per cent. This positive projection is despite the looming tensions of global inflation and the weakening rupee.

The IT spending is expected to grow to $112 million next year from $109 million in 2022.

“Inflation has not impacted enterprise spending on technology globally, and India is no exception to this trend,” said Arup Roy, VP Analyst at Gartner.

“Depending upon the maturity level of the digital enterprise, the spending context may be different for different businesses, but overall technology spending will continue to be on the rise in 2023,” he added.

Moreover, end-user spending on public cloud in India is forecast to grow 27 per cent in 2023. Except for data centre systems and devices, all the other segments of IT spending will experience growth in India in 2023, according to the report. Decices are expected to see a decline of 35 per cent next year due to the weakening demand for devices. While the data center segment is expected to see a negative growth of -1.4 per cent said Garter.

The other sectors in IT are expected to see a growth of nearly 1 per cent each sector, this includes software, communications, and services.

“As Indian organisations advance in their digital initiatives and maturity, they will need to elevate their cybersecurity focus or face severe business risk. Also, paucity of good quality digital talent and technology/management skills will continue to be some of the top challenges that CIOs in India face in 2023,” said Roy.

In India, CIOs (chief information officers) will have to think very creatively about how they find talent, where they find it, and how they use it, the report added. To add to this a recent study by digital infrastructure firm Equinix said that eight out of 10 Indian companies in India are focusing on reskilling IT workers as there is a tech skill gap.

The jobs in automation and telecom will continue to rise as more and more enterprises increase their IT spending in these areas, claims a report by Monster.com.

Garnter in October had reported that the worldwide IT sepnding is projected to total of $4.6 trillion in 2023 up by 5.1 per cent from this year.

With Inputs from IANS

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