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September 19, 2011

India to be the Next 'Green Giant,' with Spending Up to $70 Billion by 2015



India's spending on green information technology (IT) and sustainability initiatives will double— from $35 billion in 2010 to $70 billion in 2015—according to a new report from Gartner (News - Alert), Inc., a Stamford, Connecticut-based research and advisory company.

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According to “Hype Cycle for Green IT and Sustainability in India, 2011,” green IT and sustainability soon will become top priorities for businesses, investors, and technology professionals across industries and policymakers in India—although many today still regard them as buzzwords.

“India's information and communication technology (ICT) industry will be an early adopter of green IT and sustainability solutions, as India is one of the fastest-growing markets in terms of IT hardware and communications infrastructure consumption,” commented Ganesh Ramamoorthy, research director at Gartner. “Penetration of ICT infrastructure has been growing rapidly during the past decade, [in tandem with] the energy consumption and resulting carbon emissions of India's ICT infrastructure.”

In addition, a number of other industry sectors in India that have significant exposure to the export market—including banking and financial services, hospitality, manufacturing (e.g., automotive), and pharmaceuticals—will make a relatively early move toward eco-friendly, environmental platforms.

“Indian businesses will initially start adapting solutions that have been tried and tested in developed nations, but [tailor them to the] Indian market's needs and conditions. However, the unique challenges faced by India—such as an unreliable power infrastructure, a growing urban-rural divide, and increasing population migration to urban areas—will also provide businesses with the opportunity to innovate and test new cost-effective approaches. These solutions may then be adapted … in other developing, or even developed, nations," said Ramamoorthy.

The report describes and analyzes some of the emerging ICT-enabled technological solutions — and adaptations of existing technologies — that can help Indian businesses to achieve the benefits of sustainability.

“While awareness of green IT and sustainability issues is very low in Indian organizations, the increasing global focus on energy efficiency, energy security, green IT, and sustainability issues is now causing the executive leadership in the technology sector to track, report and manage sustainable and resource-efficient business practices,” Ramamoorthy explained.

“Simultaneously, the operational cost of making energy-efficient resources available is pressuring CIOs in Indian companies to develop strategies to optimize ICT utilization — including companywide energy management — while not compromising on the growth or deployment of newer technologies,” Ramamoorthy commented, adding, “We are already beginning to see the use of energy-efficient technology in data centers, manufacturing facilities, and public buildings in India. While home energy management solutions in residences are still in the very early stages, they are increasingly [being] tested in newly-built urban areas and gated communities.”

For more information on the report, visit the Gartner website.


Cheryl Kaften is an accomplished communicator who has written for consumer and corporate audiences. She has worked extensively for MasterCard (News - Alert) Worldwide, Philip Morris USA (Altria), and KPMG, and has consulted for Estee Lauder and the Philadelphia Inquirer Newspapers. To read more of her articles, please visit her columnist page.

Edited by Juliana Kenny
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