Indian software market up 10%, Mircosoft front-runner
Apr 09 2014
In a report released on Wednesday, Gartner put the software revenues from Indian market at $4.765 billion registering a growth of 10 per cent over $4.334 billion earned previous year.
For the second consecutive year, Microsoft topped the list of ten software organisations in India with revenues worth $957.6 million translating into 10.6 per cent growth in 2013 vis-à-vis $865.9 million during previous year.
Out of top-ten software companies in India, Oracle reported the best showing by registering 21.5 per cent growth at second position with revenues worth $506.4 million. This is also the first time that Oracle hogged the second position in the pecking order for software vendors in India.
Amongst the Brics, India was in numero uno position with 10 per cent growth in software spending on the back of large number of small & medium businesses (SMBs) apart from large enterprises that played a crucial role in consumption of technology.
Small and medium businesses are on threshold of leveraging information and communication technologies though they lack the scale and experience to handle technology related issues, Gartner said.
Gartner report has also pointed to Indian software industry being in the midst of transition as they were focused on investments in technologies to support existing systems.
Bhavish Sood, research director at Gartner said, “Organisations are doing this in order to maintain competitiveness, while still taking advantage of cloud or subscription-based pricing where it makes sense to grow and advance the business.”
Gartner has attributed Indian growth in software spending to focus on export markets while new avenues for consumption back home have just opened up new opportunities. The research firm pointed to continued investments on information technology infrastructure, software and support applications despite the economic slowdown in India.
Russia figured second on the list with 8.9 per cent growth in software spending while Brazil was way above China and South Africa at 7.8 per cent growth in software.
Worldwide software revenues were pegged at $407.3 billion in 2013, registering an increase of 4.8 per cent from previous year’s $388.5 billion.
Globally also, it’s the first time that Oracle has moved to second position with total revenues worth $29.6 billion with market share of 7.3 per cent. But Microsoft continues to be world leader even globally.
Gartner is an IT research and advisory company providing technology-related insight. Research provided by Gartner is targeted at CIOs and senior IT leaders in industries that include government agencies, high-tech and telecom enterprises, professional services firms, and technology investors. Gartner clients include large corporations, government agencies, technology companies and the investment community.