Indian IT sector back on growth path: Kris Gopalakrishnan – Source: The Economic Times

Infosys Technologies Ltd CEO Kris Gopalakrishnan has said the Information Technology sector in India is in another growth phase.

“In 2008, the industry saw growth coming down to single digits. Most IT companies stopped hiring employees and stopped expanding. Fortunately, growth is back and most companies are hiring in large numbers again. The top five companies are estimated to hire 1,60,000 to 1,80,000 new employees in the next 12 months,” he said here

Gopalakrishnan was delivering the keynote address on ‘Sustainable Development Strategies for the Capital City (Thiruvananthapuram)’at a discussion organised by College of Architecture here last evening.

“The IT industry has grown fast over the last 15 years. For example, the industry had about 1.50 lakh employees in 1993, around five lakh employees in 1999 and today, the industry employs around 2 million employees,” Kris said.

Multinational corporations are also looking to India to expand their markets and to create back office function and many of them are looking at Tier II and III cities to expand, he said. Emphasising the significance of infrastructure development in growth of these cities, he said an effective mechanism is essential to implement various development strategies.

“Industry bodies, relevant NGOs, civic bodies must all have a role to play. For example, industry bodies will be able to mobilise participation by experts. Industry will be able to provide project and programme management expertise. Civic leaders will be able to mobilise public opinion.

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Top 5 ChallengesYou’ll Face in 2011 – Source PCQuest

Ensuring data security: This will perhaps be the number one.As more applications move to the cloud, more users become mobile and work from outsidethe office, and even more users use social networking, it will spell bigger headaches.You’ll have to find solutions to secure your data, and ensure that your business remains upand running irrespective of new security threats.

Social media management: while social media has its own benefits, it also has itschallenges. I remember having huge debates with CIOs on whether social networking sitesshould be banned from the corporate network or not, and most people voted in favor of al-lowing it. But, when employee productivity becomes heavily impacted, CIOs would be forcedto revisit this question.

IT infrastructure re-design: while new technologies like virtualization, cloudcomputing, mobility are hot, they’ll require more than installing a new hardware box or anapplication to your data center. They’re causing a paradigm shift in how IT infrastructurewould be setup, so be prepared.

Inhouse apps or SaaS-based? As more SaaS based applications emerge and promise to replace in-house deployedones, you’ll be forced to evaluate both. Each has its own distinct advantages and dis-advan-tages. Moreover, you might already have inhouse apps, which you wouldn’t want to throwout the window just because there’s a SaaS version of the same available.

Compliance: With so many security incidents happening, and a dramatic change hap-pening to the IT infrastructure, there’s a strong need to ensure that you follow the right setof standards, and comply with all the norms.You might have noticed that the above challenges are all related to technologies that willbe hot this year, but usually, it’s their benefits which hog all the limelight than the challengesthey pose.

Worldwide IT Spending to Grow 5.1 Percent in 2011 – Source PCQuest

Worldwide IT spending is forecast to total $3.6 trillion in 2011, a 5.1 percent increase from 2010, according to the latest outlook by Gartner. In 2010, worldwide IT spending totaled $3.4 trillion, up 5.4 percent from 2009 levels.

Gartner has raised its outlook for 2011 global IT spending from its previous forecast of 3.5 percent growth. In 2010, the IT industry performed better than Gartner’s previous forecast of 3.2 percent growth. Gartner analysts said currency exchange rate fluctuations have continued to affect the U.S. dollar-denominated forecast. Of the 2.2 percentage point increase in IT spending growth in 2010, 1.6 percent is attributable to the recent devaluation of the U.S. dollar against other currencies.

The telecom equipment market is poised for the strongest growth in 2011, with worldwide telecom equipment spending forecast to grow 9.1 percent. Strong sales of mobile devices in the third quarter of 2010, driven by smartphones in mature markets and white box devices in emerging markets, as well as stronger local currencies, resulted in an upward revision of Gartner’s forecast.

The computing hardware segment is forecast to grow 7.5 percent in 2011, but Gartner analysts said vendors face possible challenges, particularly in the area of PC growth, given likely weak economic growth through the first half of 2011.

10 Tech Predictions for 2011-Source PCQuest

1. Internet tablets will flourish in the new year: Apple’s iPad paved the way for a new genre of tablets, and it looks like you’ll see more of these coming next year.

2. The web moves to 4.0 from its current 3.0 phase: With newer technologies like HTML5 and cloud services, it would be interesting to see how the web shapes up in the coming year.

3. New search technologies for your business: Internet search becomes ever more powerful with more real-time results, location based search that organizations can use for focused advertising.

4. Groupware will become the most popular application for the Cloud.

5. 3G: With WiMax and 3G merging toward LTE in next 5 years, always connected enterprise is not a distant dream where global integration and local optimization will be the survival mantra of new age enterprise.

6. Enterprises will develop entirely new skill sets for delivering social media solutions.

7. Rise of App stores in India: We saw telecom giants like Vodafone and Airtel introducing their own app stores in the beginning of this year. But due to scarce bandwidth on GPRS, their usage was limited. With 3G coming in, we’re likely to see a lot of action in this domain.

8. Key server and storage technologies like virtualization, cloud computing, solid state disks, 10GE, hold promise for efficient storage and protection of data in future: New storage specs, storage in the cloud, and data de-duplication take center stage next year.

9. Data center penetration will increase across mid-to-large enterprises: With the economic slowdown out of the way, organizations are considering to invest in newer technologies. Virtualization and cloud computing are two key technologies being considered in the data center.

10. State of Security in 2011.