MAIT-IMRB International ITOPS Study 2015: Main Conclusions

MAIT-IMRB International ITOPS Study 2015: Main Conclusions

Question: Manufacturers Association for Information Technology/MAIT and IMRB International/Indian Markets Research Bureau released the ITOPS study recently. Examine the main conclusions of this study regarding performance of IT hardware market between 2014 and 2015.

- Manufacturers Association for Information Technology and Indian Market Research Bureau International jointly released the ITOPS study/ Information Technology Omnibus Procurement study.

- Study involves exploration of the performance of the IT hardware market between April 2014 and March 2015 including notebooks, tablets, phablets, desktops, smartphones, peripherals and servers.

Conclusions of the Study

- According to the study, while demand for desktop computers and notebook PCs is falling in urban areas, it is rising in rural areas.

- Sales of notebooks and desktops fell by 15 and 4 percent respectively in urban India in the year 2014-2015

- In rural India, sale of desktops rose by 33% and that of notebooks by 11%

- As far as sales of units are concerned, in urban India, desktop sales fell by a few million from 5.01 million (2013-2014) to 4.8 million

- Rural sales expanded from 1.30 million to 1.73 million units

- For the year 2015-2016, desktop market is projected to continue its fall by 10% while there is a 17% expected increase in growth of notebooks

- Sales in urban areas fell from 6.84 million units to 5.81 million units Y-O-Y while in rural areas, sales picked up from 0.32 to 0.36 million

- As far as smartphones and tablets are concerned, revenue notched up by 88% to greater than INR 65815 crore in 2014-2015 as against 34900 crore in 2013-2014

- Growth is projected to persist in 2015-2016 as smartphones are predicted to grow by 27%, phablets by 65% and tablets by 16%

- The complete PC sales including both notebooks and desktop computers was pegged at 10.62 million units. This is a negative decline of 10 percent across the 2013-2014 fiscal

- Decline was due to the introduction of bigger screen phones with numerous features cutting down of the share of notebooks

- According to the study, the overall size of the ICT hardware market was at USD 15.87 billion up by 23.98 percent in 2013-2014

Facts and Stats

- Since fiscal 2013-2014, IT BPM sector has added USD 29 billion

- Exports total 67% of the share in revenue

- e-Commerce is driving growth of the IT sector

- Make in India and Digital India are driving growth in the Indian IT sector