What is it?Like any other industry, IT & ITES Industry also has businessofferings. May be The only industry to have offeringsspanning across Goods, Software Products and SoftwareServices.The goods related here are Electronic goods like PersonalComputer, Servers, Network Devices etc. The commonlyknown and used Software products are OperatingSystems, Anti Virus, MS Office, Media players etc. Most ofus are familiar with the Software Services segment of thisindustry.Also, the offerings are both for end consumers directly (B2C) andGovernment Companies and Corporate business houses (B2G andB2B).
The Industry is categorized into four broad segmentsHardwar Software Products and Engineering services IT Services ITeS – BPO
The sector has increased its contribution to Indias GDP from 1.2% in FY1998 to 7.5% in FY2012. According to NASSCOM, the IT–BPO sector in India aggregated revenues of US$100 billion in FY2012, where export and domestic revenue stood at US$69.1 billion and US$31.7 billion respectively, growing by over 9%. The industry’s share of total Indian exports (merchandise plus services) increased from less than 4% in FY1998 to about 25% in FY2012.
Legal1. IT SEZ requirement: IT companies can set up SEZ with minimum area of 10 hectares and enjoy a host Positive of tax benefits and fiscal benefits.2.Contract / Bond requirements: Huge debatessurrounding the bonds under which the employees Negativeare required to work, which is not legally required.3.IT Act: Indian government is strengthening the ITact, 2000 to provide a sound legal environment for Positivecompanies to operate esp. related to security of datain transmission and storage, etc.4. Companies operating in Software Technology Park(STPI) scheme will continue to get tax-benefit till Mildly +ve2010.
Look beyond US and Europe – APAC, Middle East and Far East. Local is the new global – Domestic Market From Service to Product Emerging Trendso Cloud Computingo Online Retailingo Platform BPOo Increasing focus on People – an integral asset to the Indian IT/ITeS industry Inclusive development – the emergence of new “Bangalores”
IBEF.Org PWC’s Newsletter on IT & ITES in India along with CII Local is the new global – Domestic Market From Service to Product Emerging Trendso Cloud Computingo Online Retailingo Platform BPOo Increasing focus on People – an integral asset to the Indian IT/ITeS industry Inclusive development – the emergence of new “Bangalores”