Indian software industry exports could grow to $87 billion this fiscal year, thanks to a combination of traditional business models and SMAC (social/mobile/analytics/cloud). While traditional services still make up a large part of Indian IT firm revenue, SMAC is expected to offer more new value to clients. Leslie D’Monte writes for Mint about how this new flavour of IT will leave a good taste in everyone’s mouth.
SMAC Your Lips
A survey by Offshore Insights finds the following:
It predicts that Global 2000 firms will spend 15-16% of their IT services and outsourcing budgets on SMAC and India will export $15 billion worth of SMAC software and services in fiscal 2017. In the coming two years, the firms surveyed expect to spend around 10% of the total IT budgets on big data and analytics, about 9.5% on cloud services (including software as a service, and platform as a service), around 5.3% on mobile apps and devices, and 3.4% on social media.
D’Monte concedes that certain aspects of SMAC may be overhyped or merely reclassifications of traditional services, but packaging any number of its potential functions together can make for complex and attractive deals. Indeed, Indian IT vendors are expected to generate at least $225 billion in SMAC-related revenue in 2020. Cognizant Technology has found that client demand for SMAC solutions has changed over the past two years from pilot projects to deeper integration within IT. They intend to pursue advancement into sensor technology, machine learning, Internet of Things, and artificial intelligence.
Big data is another area ripe to produce revenues. HCL Technologies for instance is aiming to leverage big data with SMAC to hit a goal of $1 billion in revenue within five years. The full article goes into greater detail about the ways various businesses are strategizing to use SMAC. You can read the article here: http://www.livemint.com/Industry/FXPE2yjjVrknGT3uJr33HP/SMAC-is-the-new-flavour-of-IT-services-companies.html