IT spending to grow 6% to $81.9B in 2021, spending in 2020 sees over 8% drop
Contrary to other markets where spending declined across all segments, CIOs in India continued to spend on enterprise software, IT services, and communication services in 2020.
Gartner has projected that IT spending in India to grow 6% to a total of $81.9 billion in 2021. The research firm said IT spending in 2020 is impacted by the pandemic and expected to total $79.3 billion, down 8.4% from 2019.
The projection would have been higher if not for the stalling of projects as a result of the pandemic, according to Arup Roy, research vice president at Gartner.
“The Covid-19 pandemic stalled many digital transformation projects for Indian enterprises, mainly because of the market uncertainties and reduced cash flows…The pandemic situation was a wake-up call for many organizations to relook and revive their IT strategies and increase their spending on IT in 2021,” said Roy.