"The Indian IT and ITeS industry continues to chart double-digit growth with industry aggregate including hardware for the current fiscal (2004-05) expected to reach $28.2 ", the Review said.
Giving a composition of sectoral contribution, it said IT services and software is slated to contribute 58.6 per cent to the overall IT industry revenue in FY05 (as against 59.4 per cent in FY04) while ITeS-BPO is likely to account for 20.1 per cent.
The ITeS-BPO is the fastest growing segment and is forecasted to reach $5.7 billion in FY05, it added. In case of hardware, the contribution is expected to be 21.3 per cent in FY05, down from 22.4 per cent last fiscal.
The share of services now accounts for nearly 80 per cent of Indian IT-ITeS revenue, close to the global aggregate of approximately 75 per cent.
In comparison, the Chinese IT industry 'often referred to as India's biggest competition' - is heavily dependent on its hardware segment which including exports, is expected to account for 84 per cent of the country's IT industry revenue in Fy05, declining from 89 per cent last fiscal, the Nasscom Review said.