New Delhi: Riding on Digital Transformation (DX) initiatives, India's software market is expected to register an year-on-year (YoY) growth of 14.1 per cent by the end of 2018, a new report by International Data Corporation (IDC) said on Friday.
According to IDC's Asia Pacific excluding Japan (APeJ) "Semiannual Software Tracker 1H 2018", the software market is poised to be valued at $5.7 billion in 2018.
"India stands among the top three contributors in the APeJ region's software market share, thus, accounting for 12.6 per cent of the overall market.
"Also, the country is estimated to achieve a compound annual growth rate (CAGR) of 14.4 per cent from 2017 and 2022 which is the highest growth rate anticipated amongst the APeJ countries for the above-mentioned period," Ranganath Sadasiva, Director Enterprise Solutions, IDC India, said in a statement.
According to the market research firm, Applications (in the software market) contributed the bulk of the spending with a 58.8 per cent share, followed by AD&D and SI software with shares of 23.5 per cent and 17.7 per cent, respectively, in the first half of 2018.
"Sustained growth in digital technology investments by Indian organisations to accomplish priorities such as modernisation of legacy infrastructure and achieving operational excellence are driving the growth story of India's software market," Sadasiva added.
For the forecast period (2017-2022), IDC added that Collaborative Applications, Enterprise Resource Management (ERM) Applications and Content Workflow and Management Applications and Customer Relationship Management (CRM) would be the top opportunity areas for the vendor community.