How India Inc's IT spending is spread across sectors

As businesses face growing competition and the need for greater efficiency, technology has become central to their strategies. Sectors such as manufacturing, BFSI (Banking, Financial Services, and Insurance), and telecommunications are increasingly investing in IT to streamline operations, enhance customer engagement, and scale their capabilities. This shift highlights the role of IT as a critical enabler of transformation across industries. 

According to the data collated by the technology sector database SalesEdge, a sister unit of TechCircle, in 2024, manufacturing emerged as the highest spender on IT, allocating over ₹11 lakh crore to adopt automation, artificial intelligence (AI), and advanced production systems. This reflects the sector's efforts to modernise its processes and increase global competitiveness. BFSI followed closely with more than ₹10.5 lakh crore, leveraging technology for digital banking, cybersecurity, and customer-centric solutions. 

The IT sector, which also invests heavily in its own infrastructure and innovation, remained at third place over ₹8.5 lakh crore. This investment was directed toward cloud computing, software development, and scaling global operations. Telecommunications ranked fourth, spending ₹3.6 lakh crore on IT to expand 5G networks and enhance customer data platforms. 

Other sectors such as personal services and conglomerates allocated ₹2.4 lakh crore toward IT, while healthcare spent ₹1.17 lakh crore. Resource industries and personal consumer services, traditionally slower in technology adoption, contributed ₹103,694.21 crore and ₹85,266.43 crore, respectively, reflecting growing interest in digital tools. 

Media and utilities invested ₹75,675.34 crore and ₹70,694.70 crore in IT, focusing on digital platforms and management systems. Retail and education, though among the lower spenders, directed ₹18,882.12 crore and ₹12,678.70 crore to improve customer experiences and digital learning solutions. 

This trend of rising IT spending indicates a broader shift across Indian industries, where technology is not just a tool but a critical enabler of growth. While sectors like manufacturing and BFSI lead the way, others are gradually ramping up their investments, signaling the widespread adoption of technology as a cornerstone of business strategy.