He stated that four "powerful" technologies are transforming the industry.

"SMAC (Social, Mobile, Analytics and Cloud) is throwing up huge opportunities as firms want to optimize investments in current technology and drive growth by using digital technologies and platforms. The digital forces of social, mobile, analytics and cloud (SMAC) will reach mainstream status in 2014 and create requirements, drive new purchasing and establish new competitive realities," he said.

According to the Indian Brand Equity Foundation (IBEF), Indian IT vendors are expected to generate $ 225 billion from SMAC-related revenue by 2020 of the $ 1 trillion global opportunity.

Cloud represents the largest opportunity under SMAC, increasing at a CAGR of about 30 percent to $ 650-700 billion by 2020, followed by social media, which will offer a $ 250 billion market opportunity by 2020.

"2013 marked a year of innovation and transformation for the sector. New business models emerged to attract and retain customers and align to changing business dynamics," Frost & Sullivan Head Consulting (ICT Practice) Nishchal Khorana said.

Increasing adoption of cloud computing has pushed Indian IT players to devise the core value propositions and delivery models, he added.

Mobility, analytics and social media created new revenue opportunities and business lines to create differentiation in the market.

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