In­dian IT hard­ware in­dus­try grew 24% in FY 2015


MAIT, the apex body rep­re­sent­ing In­dia’s IT hard­ware, train­ing and R&D ser­vices sec­tors re­cently an­nounced the find­ings of its An­nual In­dus­try Per­for­mance Re­view for the fi­nan­cial year 2014-15. Ac­cord­ing to the find­ings, the over­all size of In­dian ICT Hard­ware Mar­ket Stands at $15.87 bil­lion, show­ing a growth of 23.98% over the pre­vi­ous year. This seg­ment in­cludes PCs, Desk­tops, Ph­ablets (Screen size 5 inch and more), tablets (screen size greater than or equal to 7 inch), smart­phones, servers, and pe­riph­er­als. How­ever, the to­tal PC sales (desk­top com­put­ers and note­books) stood at 10.62 mil­lion (106.2 lakh) units, reg­is­ter­ing neg­a­tive growth of 10 per cent over the last fis­cal.

Com­ment­ing on the find­ings, Amar Babu, Pres­i­dent of MAIT, said, “Phones are driv­ing all the growth but PC is show­ing de­growth. The only way to ar­rest this de­growth is to look at ways to in­crease PC pen­e­tra­tion in In­dian house­holds. One way is by en­abling in­fra­struc­ture, pro­vid­ing low-cost loans and dis­count vouch­ers for pur­chas­ing PCs. We also see a ray of hope for PC growth in fu­ture on ac­count of some of Dig­i­tal In­dia ini­tia­tives which aims at hav­ing a dig­i­tal In­fra­struc­ture as a util­ity to ev­ery citizen, gov­er­nance & ser­vices on de­mand, and dig­i­tal em­pow­er­ment of cit­i­zens.”

Ph­ablets made a huge growth of 527% over last year to do 50.8 mil­lion sales and is ex­pected to grow by around 65% in the next fis­cal year. They are see­ing fast emerg­ing and in­for­ma­tion con­sump­tion, es­pe­cially in the larger cities. Multi-util­ity of the prod­uct cou­pled with the ease of us­age and han­dling makes it a pre­ferred de­vice over the other de­vices.

An­war Shirpur­wala, Ex­ec­u­tive Di­rec­tor of MAIT says, “Gov­ern­ment pro­grams have been in­stru­men­tal in driv­ing the growth of notebook and also its de­cline. In a coun­try where af­ford­abil­ity is an is­sue, it is im­por­tant for Gov­ern­ment to pro­vide the ad­di­tional im­pe­tus to the adop­tion of PCs, thereby, driv­ing over­all de­vel­op­ment of the so­ci­ety. The big­ger screen of ph­ablets make it an ex­tremely de­sir­able prod­uct as it bridges the gap of a multi-util­ity de­vice and an en­ter­tain­ment de­vice. How­ever, it is only up to the 5.5 in screen ph­ablets that have found ac­cep­tance. Role of tablets as a ubiq­ui­tous de­vice for con­sumers is fast di­min­ish­ing. On the other hand desk­top PC con­tin­ues to de-grow and found a niche amongst house­holds in small towns and ru­ral.”

Biswapriya Bhat­tachar­jee, Vice pres­i­dent, BIRD, IMRB In­ter­na­tional said, “The study is based on over 42,000 face-to-face in­ter­views with end-users spread over 35 cities with data pro­jected to the ' All In­dia Ur­ban mar­ket' and 41 SCRs (so­cio eco­nomic re­gions) to es­ti­mate the ‘All In­dia Ru­ral mar­ket. It in­volved data col­lec­tion af­ter the 'last mile' that the prod­uct trav­els, i.e. from the premise where the prod­uct is fi­nally in­stalled’.

An­war Shirpur­wala, Ex­ec­u­tive Di­rec­tor of MAIT

Amar Babu, Pres­i­dent of MAIT

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