Business

Indian Tech Industry Set To Reach $300 Billion By FY26: Nasscom

India’s technology sector is on track to achieve $300 billion in revenue by FY26, according to a Nasscom report released on Monday.

In the ongoing fiscal year (FY25), the industry will likely add at least 1,26,000 net new employees, bringing the total workforce to 5.8 million.

Despite global economic shifts, India’s tech industry has demonstrated resilience, with engineering R&D and global capability centres (GCCs) playing a key role in driving growth.

The ‘Annual Strategic Review 2025’ by Nasscom highlights a 5.1% industry growth, contributing an additional $13.8 billion in revenue and pushing total revenue to over $282.6 billion (including hardware) in FY25.

For the second consecutive year, India’s domestic tech market has outpaced export growth, with domestic revenues rising by 7% compared to FY24.

Increased adoption of enterprise software, cloud solutions, and a 21% expansion in data centre capacity have further strengthened industry momentum.

AI, Agentic Models, & GCCs Driving Industry Shifts: Nasscom Chairperson

Nasscom Chairperson Sindhu Gangadharan stated, “Enhanced AI implementation, rise of Agentic AI disrupting business models, and increasing maturity of GCCs as hubs for value and transformation are driving the industry shifts.”

With technology increasingly linked to global geopolitics and trade, organizations must focus on workforce skill development.

“Building resilient organisations and investing in digital trust will be critical to shaping these trends and sustaining the tech industry’s long-term growth,” she asserted.

The broader digital economy now accounts for about 12% of India’s GDP, with Digital Public Infrastructure contributing an additional 1%.

E-commerce remains a fast-growing segment, expanding at 35% annually, with its gross merchandise value (GMV) expected to reach nearly $200 billion.

Nasscom President Rajesh Nambiar emphasized the importance of tech skill intensity in driving future industry growth.

Although overall AI adoption is still measured, more than 55% of AI initiatives by Indian tech firms are focused on long-term co-creation partnerships to develop scalable, future-ready AI solutions.

Also Read: India Introduces Digital Pilot Licenses; Becomes Second Country To Implement EPL

Mankrit Kaur

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