That automotives did for Japan, the IT industry has done for India. There is not an iota of doubt that success of the IT industry has contributed a lot in making India a force to reckon with. That India is a huge IT success story can be gauged from the performance of Indian IT industry whose contribution to the Gross Domestic Product (GDP) stood at an estimated 5.8 per cent in 2008 from 1.2 per cent in the year 1997.

The growth in India's IT sector is mainly dominated by IT software and services such as Custom Application Development and Maintenance (CADM), System Integration, IT Consulting, Application Management, Software Testing and Web services. According to the findings by NASSCOM, the Indian IT-BPO sector grew by 12 per cent in the year 2009 to reach US$71.7 billion in aggregate revenue (including hardware). Of this, the software and services segment accounted for US$59.6 billion.

That the growth will be a continuous feature in the Indian IT sector is backed by a study by Springboard Research. The study says that the Indian IT services market is estimated to remain the fastest growing in the Asia-Pacific region with a Compound Annual Growth Rate (CAGR) of 18.6 per cent.

At present, there are 70 million Internet users in India. According to MAIT, the number of active Internet entities rose to 9.4 million by September 2009 from 8.6 million units in March 2009. A recent study estimates that the total PC sale in India is likely to grow by 7 per cent in 2009, with total sales expected to cross 7.3 million units.

Analysts are of the opinion that the global economy will return to normal in 2010 and IT will play an important role in the recovery. Further, the research firm, IDC, also forecasted that global IT spending will grow by about 3.2 per cent in 2010, returning the industry to pre-recession spending levels of about $1.5 trillion. Meanwhile, it also appears that India’s $60-billion technology services industry may also receive some boost in 2010 after the not-so-good 2009. In December 2009, India's industrial output grew at its fastest year-on-year pace in almost two decades at 16.8 per cent. Indian planners are also expecting 7–8 per cent growth rate in GDP this year.