India Will Be The World’s Fastest Growing Enterprise Software Market : Gartner

Globalization, Increase in FDI in retail and aviation are some of the possible reason for increasing budgets in Indian economy which will boost the need of modern software with the latest features and improved functionality.
The area on which spending will be more include analytic and business intelligence, mobility solutions, cloud computing, collaboration technologies and social media. In the next five, the fastest-growing segments will be enterprise content management, web conferencing & social platforms, CRM, security and office suites.
According to Gartner ,Inc the enterprise software market in India is projected to grow 13.7 per cent in 2012, as revenue reaches $3.45 billion USD in 2012. India's enterprise software market is forecast to maintain its strong performance, with an estimated compound annual growth rate (CAGR) of 14.6 per cent from 2011 to 2016 - the highest growth rate in the world.
In 2012, India will be the fourth largest enterprise software market in Asia/Pacific. The country is forecast to account for 11.4 per cent of the region's total revenue of $30.30 billion USD this year, the equivalent to 1.24 per cent of the total worldwide software of market share of $278 billion USD billion.
End users in Asia/Pacific are expecting to increase their spending on application and infrastructure software, with China and India being the most optimistic and leading the way for budget increases, followed closely by Indonesia and Singapore," said Mr. Raina.
By 2016, India's share of the software market in Asia/Pacific is expected to reach 12.68 per cent, representing $5.98 billion in revenue, or 1.66 per cent of total worldwide software market revenue of $359 billion. In comparison to other countries in the Asia/Pacific region, such as China (with 26.34 per cent share of regional spending in 2011), the software market in India is still relatively small and evolving.
"India enjoys a rich presence of international software and hardware vendors, backed by a very strong ecosystem of system integrators, service providers and business partners. A combination of sustainable domestic demand, presence of global vendors and entry of new small vendors with innovative products have made the overall ecosystem apt for robust growth." said Asheesh Raina, principal research analyst at Gartner.