Internet-Based Applications Contribute 16 percent of India's GDP by 2020
Internet-based applications in India have the potential to contribute Rs18 trillion to India's gross domestic product (GDP) by 2020, according to study released by the New Delhi-based International Council for Research in International Economic Relations (ICRIER) and telecom lobby group Broadband India Forum. The study, titled 'Estimating the Value of New Generation Internet based Application Services in India' and released by telecom minister Manoj Sinha in New Delhi, estimated the internet's contribution to grow to nearly 16% of India's GDP by 2020, which translates to Rs 36 trillion ($534 billion), with half of this coming from internet-based apps.
The study emphasized the need to address a lack of digital infrastructure, invest in India's e-governance app-ecosystem, encourage development of vernacular content, use the Startup India programme to accelerate growth in the sector, promote skill development for app developers, promote government and private sector collaboration, strengthen cyber security infrastructure, change perceptions and build awareness among consumers, disentangle regulatory needs, and develop a systematic approach to regulations.
The study also included in-depth case studies of 16 service/app companies like Makemytrip, Practo, Paytm, Urbanclap, Netflix, Wynk, Byju's, Truecaller, farMart and MP Mobile to capture the impact generation at a micro level in the key sectors of travel, healthcare, education, entertainment, utilities, digital payments, social, navigation and government services.
The study emphasized the need to address a lack of digital infrastructure, invest in India's e-governance app-ecosystem, encourage development of vernacular content, use the Startup India programme to accelerate growth in the sector, promote skill development for app developers, promote government and private sector collaboration, strengthen cyber security infrastructure, change perceptions and build awareness among consumers, disentangle regulatory needs, and develop a systematic approach to regulations.
The study also included in-depth case studies of 16 service/app companies like Makemytrip, Practo, Paytm, Urbanclap, Netflix, Wynk, Byju's, Truecaller, farMart and MP Mobile to capture the impact generation at a micro level in the key sectors of travel, healthcare, education, entertainment, utilities, digital payments, social, navigation and government services.
