In a bid to accelerate their growth in the new normal, Indian enterprises from different sectors have started to double down on big data and analytics (BDA).
According to a report from International Data Corporation (IDC), the spending on BDA solutions has grown 11.5% to $2 billion in 2021 as organisations are increasingly looking to gain business-critical insights from real-time data.
With this forward-looking approach, the investment in big data technology and related services is expected grow at a CAGR of 14.6% between 2020 and 2025.
The shift, according to the report, is largely being driven by the banking sector which holds the largest share of spending (18.4%) recorded in 2021 and is expected to grow with a CAGR of 13.7% during the forecast period till 2025.
The companies in the segment are using data as an asset to drive growth while ensuring customer satisfaction, productivity and performance.
Banking is closely followed by the telecommunications industry (14.3%), which continues to adopt big data analytics solutions to understand customers, business, and overall operations.
Local Indian telcos have also partnered with other enterprise analytics providers to leverage big data for enhancing customer experience.
Discrete manufacturing, process manufacturing, and public sector organizations have also increased their spending on BDA to make better decisions, making up over 31% of BDA spending in 2021.
"Enterprises across the industry have realized the potential of intelligence technologies (such as big data analytics, AI/ML) and are focused on building new decision environments based on data-driven insights,” Sharad Kotagi, market analyst at IDC Asia/Pacific, said.
“The current Covid-19 crisis has further accelerated the demand for intelligence technologies to enable new ways of working.
As per IDC's Future Enterprise Resiliency and Spending Survey (Wave 5), more than 50% of the Indian enterprises will increase their investments in analytics applications in the next 12 months to achieve cost optimization and retain business resiliency," he added.