Nasscom calls FY19 the year of digital acceleration

The National Association of Software and Services Companies (Nasscom) has named 2018-2019 as the year of digital acceleration, with digital revenues once again emerging as the growth driver for the period, rising 30% year after year to $33 billion.

The key themes for the year include solutions across emerging technologies, especially around artificial intelligence (AI) and automation, said Nasscom in a release.

The current workforce tasked to handle digital transformation operations is close to 600,000 professionals, the release stated.

Rishad Premji, chairman, Nasscom, said, “The IT-BPM industry (information technology-business process management), with revenue of $180 billion for 2018-2019, continues to be a key catalyst for India’s growth.”

The release said the export sector crossed $137 billion of revenues and marginally grew above the Nasscom guidance of seven to nine per cent.

Apart from the aforementioned facts, Nasscom stated that India has close to 7,000 startups, and is the third-largest startup hub globally. Additionally, new research and development Global Capability Centres (GCCs) set up in India stood at 40, while the value of all mergers and acquisitions in the country stood at $10 billion.

CEO survey

Nasscom also shared key findings from its chief executive officer (CEO) survey, with the key takeaway being that global economic uncertainties are making CEOs cautiously optimistic about 2019, although they expect the fast pace of digitisation to continue.

Within the IT and BPM sectors, digitisation of businesses and enhanced customer experiences are the top two spending areas for CEOs, according to the survey.

Keeping in mind the global tech skills shortage, a whopping 90% of the CEOs agreed that skill sets were the new currency and 2019 would be better than 2018 in terms of hiring talent.

“The CEO sentiment for 2019-20 is cautiously optimistic against the backdrop of concerns of global macroeconomic risks. The sector will continue to invest in building products and platforms, upskill its talent pool and drive greater collaboration across the ecosystem,” said Debjani Ghosh, president, Nasscom.

A decade after the 2008 financial crisis, 2018 has witnessed tech growth owing to higher confidence of businesses and revived customer hope. The IT-BPM industry will continue to accelerate on the digital journey, the release said.