Biden’s executive order may spur ‘five-year mega growth’ cycle for India’s IT sector

India’s $150 billion IT services sector is expected to witness a “five-year mega growth” cycle due to the speed at which American enterprises transform themselves digitally, outsourcing experts told ET, following US President Joe Biden’s executive order last week to increase competition in the US economy.

US businesses will show increased appetite to migrate to the Cloud and adopt technologies such as artificial intelligence (AI) and Internet of things (IoT) in the next few years, leading to increased offshore and onshore outsourcing opportunities for IT services providers.

“The latest direction from the US administration adds to the growing backlog of digital transformation projects in the marketplace. This bodes well for the Indian IT industry and will further accelerate an already hot market for them,” said Peter Bendor-Samuel, chief executive officer of Everest Group, a US-based IT advisory and research firm.