GUWAHATI: India’s IT spending is projected to cross $160 billion in 2025, according to a Gartner report released on Tuesday, November 12. This upward trend in investment will see the industry mark an 11.2% increase from 2024.
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The growth is primarily driven by significant expansion in application and infrastructure software markets, with software spending in India expected to witness the highest growth rate of 17% by next year.
The rising adoption of generative AI (GenAI) can be accounted as a major contributor to this growth, particularly in fields such as customer relationship management (CRM), email and content creation, and analytics platforms.
Additional findings from the report suggests that more than half of application software offerings with GenAI capabilities will come with a price premium by 2025, as providers will begin to test consumer willingness to pay for advanced AI capabilities.
Despite current global economic challenges and cautious spending, India is also projected to have a surge in demand for data centre systems, with spending in this category projected to reach $4.7 billion. Such trends are reflecting the nation’s growing emphasis on AI-enabled digital transformation.
