India IT Services Market to Double to $15 Billion by 2014: Gartner

The local IT services industry will grow to $9.5 billion in 2011, an 18 percent increase over $7.6 billion in 2010. India's IT services market is quite small when compared with large markets such as the U.S. or the U.K., but it does offer a growth opportunity to service providers because of buoyant market conditions.

Government infrastructure projects will strongly drive IT, in conjunction with the expansion of the financial services and manufacturing sub-sectors. Currently, only four industry verticals make up the bulk of the market (85 percent of all IT services spending). Those four industries are banking, financial services and insurance; telecommunications; manufacturing; and government. This means that other industry verticals offer a good opportunity of growth as they start opening up and start engaging with external service providers (ESPs).