IT spending in India expected to be over $100 bn in 2022: Gartner

IT spending in India is expected to touch $101.8 billion in 2022, stated Gartner. It is an increase of 7 per cent from 2021. The research stated that India saw one of the fastest recoveries in the world despite being severely hit in the second wave.

All segments of IT spending are expected to grow, with software in the lead. Gartner predicted software spending to amount to $10.5 billion in 2022, up 14.4 per cent from 2021. While software spending is expected to be double of what it was before the pandemic, it is still experiencing a slower growth rate than 2021.

Moreover, there is likely to be more spending on devices in 2022 amid an increase in hybrid work regime. It is likely to reach $44 billion, an increase of 7.5 per cent from 2021. Hybrid work and pent-up demand from 2020 for device upgrades is likely to drive growth in devices. Spending on devices is likely to amount to 43 per cent of IT spending.

Gartner’s Research Vice President Arup Roy stated that the digital transformation trajectory that began as a response to the pandemic is here to stay for the next few years. “India has experienced one of the fastest recoveries despite being one of the worst hit regions in the second wave of the pandemic in early 2021. In 2022, CIOs in India will build on renewed interest in technology from the business to gain funding for new IT projects,” Roy added.

The report suggested that IT spending is going to shoot up on the back of projects that drive innovation and modernise legacy systems. Hiring a workforce that can deliver these requirements will be a key priority. Indian CIOs will prioritise a more composable business and IT architecture over rigid and monolithic ways of doing business.

The research looked into analysis of sales of thousands of vendors from across IT products and services and offers a perspective on IT spending across the hardware, software, IT services and telecommunications segments.

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