Indian technology industry gained 3.8% to achieve a valuation of $254 billion in FY24, amid a difficult economic climate.
According to Grant Thornton Bharat’s “2025 Tech Trends Report,” the industry employed 5.43 million professionals in 2025, representing a 1.1% increase in employment. Focus topics included cybersecurity, cloud, and generative AI.
One possible way to address the industry’s skills deficit is to expand into tier-2 and tier-3 cities.
“As far as India is concerned, technology companies will need to navigate the business growth challenges as well as seize the new opportunities from Generative AI and new tech in 2025,” said Raja Lahiri, partner and technology industry leader, Grant Thornton Bharat.
The nation’s emphasis on generative AI and Engineering Research and Development (ER&D) services led to a 7.4% increase in these fields, with digital engineering projects being driven by the aerospace, military, and automotive industries. With 1,700 global capability centers (GCCs), bolstered by investor interest and a robust start-up environment, India continues to be a focus for technological innovation.
“India is expected to continue to dominate the global technology services market driven by the availability of massive tech, engineering talent as well as high-quality business and digital transformation impact on global clients,” Lahri added.
India’s large reservoir of technical and engineering expertise is the reason for its supremacy in the worldwide market for technology services. The industry continues to be a top choice for clients worldwide due to its capacity to provide business and digital transformation solutions.
The research recognized issues including the impact of high turnover rates during the pandemic, decreasing revenue growth, and high staff expenses. To manage economic uncertainty, businesses are encouraged to strike a balance between strategic expenditures in innovation and cost conservation.
Due to high attrition rates during the pandemic, the Indian IT sector had slower revenue growth and increased labor expenses in FY24.
With more than 3,600 start-ups, India’s deep tech ecosystem has promise in domains including artificial intelligence, space technology, and health technology. One method to achieve long-term value creation and digital transformation is through the strategic deployment of generative AI, with an emphasis on use-case selection, governance, and operational efficiency.
Also read: Viksit Workforce for a Viksit Bharat
Do Follow: The Mainstream formerly known as CIO News LinkedIn Account | The Mainstream formerly known as CIO News Facebook | The Mainstream formerly known as CIO News Youtube | The Mainstream formerly known as CIO News Twitter
About us:
The Mainstream formerly known as CIO News is the premier platform dedicated to delivering the latest news, updates, and insights from the CIO industry. As a trusted source in the technology and IT sector, we provide a comprehensive resource for executives and professionals seeking to stay informed and ahead of the curve. With a focus on cutting-edge developments and trends, The Mainstream formerly known as CIO News serves as your go-to destination for staying abreast of the rapidly evolving landscape of technology and IT. Founded in June 2020, The Mainstream formerly known as CIO News has rapidly evolved with ambitious growth plans to expand globally, targeting markets in the Middle East & Africa, ASEAN, USA, and the UK
