India is the fastest growing IT services market in Asia Pacific, says a report by IT market research firm Springboard Research. The report estimates the IT services market in Asia Pacific (excluding Japan) to touch $55.9 billion mark by 2011, representing a compounded annual growth rate (CAGR) of 10.5 percent.
The report also says that application hosting which has CAGR of 19.5 percent
between 2007 and 2011 is expected to register the fastest growth during the
forecast period, although enterprise application integration at $7.8
billion would continue to be the largest component of the market by
2011.
The report highlighting the reluctance of Chinese firms to use the Enterprise IT outsourcing model hinted future reduction in relative size of the sector and decrease in its weighting in the market by 2011.
The report goes on to say that China would not challenge India as the
home of offshore service delivery especially for English language
requirements as skill levels, quality and governance are more suited to
India being a hub of global delivery.