Gartner : Forecasts Infrastructure Software Revenue in India to Grow 12% in 2021

MUMBAI, India., February 10, 2021

Gartner Forecasts Infrastructure Software Revenue in India to Grow 12% in 2021

Increased Focus on Database Management, Applications and Security will Reinstitute Pre-Pandemic Growth

Infrastructure software revenue in India is forecast to total $4.6 billion in 2021, a 12% increase from 2020, according to the latest forecast by Gartner, Inc.

'In 2021, Indian CIOs will continue to focus on maintaining business resiliency and enabling a seamless and secure remote working ecosystem for their organization,' said Vanitha D'Silva, senior principal research analyst at Gartner. 'Technology was a key enabler for business to thrive during the pandemic, even with lower cash flows and struggling economies. CIOs in India understand that IT can be the driving force for their organizations' growth and stability during unprecedented times. The renewed trust in automation, information management and integration will act as a catalyst for growth in infrastructure software spending.'

All enterprise infrastructure software segments are forecast to return to growth in 2021 (see Table 1). Security software is expected to have the strongest growth (19.7%) as security-as-a-service offerings and detection and response capabilities improve. The data integration tools and data quality tools segment will see the second highest growth (18.7%) as a result of rapid cloud adoption in the country.

Table 1. India Infrastructure Software Revenue Forecast (Millions of US Dollars)

	2019 Revenue	2019 Growth (%)	2020 Revenue	2020 Growth (%)	2021 Revenue	2021 Growth (%)
Application Development	284.0	18.1	284.5	0.1	306.5	7.7
Application Infrastructure and Middleware	549.1	18.5	630.4	14.8	733.0	16.2
Data Integration Tools and Data Quality Tools	67.6	10.9	91.1	34.7	108.2	18.7
Database Management Systems	1,077.4	18.9	1,202.5	11.6	1,382.0	14.9
IT Operations	394.0	9.0	408.7	3.7	448.7	9.7
Master Data Management Products	23.3	2.1	24.2	3.7	25.4	4.8
Operating Systems	527.2	7.98	485.5	-7.9	505.3	4.0
Other Infrastructure Software	265.5	12.6	226.0	-14.9	249.3	10.3
Security Software	454.5	13.2	460.5	1.3	551.4	19.7
Storage Management	253.6	2.4	229.4	-9.5	234.9	2.3
Virtualization Infrastructure Software	132.5	3.8	118.6	-10.5	121.2	2.2
Total	4,028.8	13.3	4,161.4	3.2	4,665.8	12.1

Source: Gartner (February 2021)

'The demand for better detection and response use cases leveraging analytics is growing, and for this reason, new vendors are bringing technologies optimized for analytics use cases. Indian organizations are making the most of these new offerings from security software vendors,' said Ms. Dsilva. 'There is an increased focus on governance, regulations and higher appreciation of security impact in several areas of digital adoption and security by design. Due to this, end-user organizations will spend more on security software in 2021, as compared to what they spent in 2019 and 2020.'

In addition to security, the data integration tools and data quality tools segment will also experience strong growth in 2021. As remote working continues in 2021, so does the need for more scalable, secure and reliable data integration tools for businesses. While there are multiple product offerings available in the data management market, CIOs will prefer those offering multiple data and analytic technologies in 2021.

More detailed analysis on the enterprise spending on infrastructure software is available in the Gartner research 'Forecast: Enterprise Infrastructure Software, Worldwide, 2018-2024, 4Q20 Update'.