Indian IT companies have realized that infrastructure management services (IMS) as the next big opportunity for business. India saw a tremendous growth in the infrastructure management space both in private and public sectors. The government, both the centre and state, is launching many projects that needs IT infrastructure management at various levels. Cloud computing and virtualization created large areas of opportunities for infrastructure management in India. As the demand for infrastructure outsourcing is also coming from the medium-sized firms globally apart from the large ones, the size of business opportunities widens further for the Indian players to grab a good bite of the largely untapped market.

On the path to recovery, many medium and large companies are increasing their outsourcing projects to reduce the cost and to focus on their core areas. This makes the infrastructure management services industry to grow in an unprecedented way, which opens a large spectrum of business opportunities to the leading offshore locations like India. The Indian vendors account for a market size of $1.4 billion growing at a CAGR of 44 percent, reveals a Zinnov study on infrastructure management services. The current global market size of IMS is estimated to be $370 billion and is expected to grow at a CAGR of 4 percent over the next four years. It also states that the current IMS spend is expected to be around 12 percent to 20 percent of the total IT budget of the companies, which will certainly rise in the coming years. Almost 40 percent of the global IMS market is outsourced, which is around $150 billion.

Fast adoption of virtualization, cloud computing and automation by Indian firms gets them an edge over their competitors to pocket major IMS projects. The enormous amount of investments in IT infrastructure and the present IT environment makes India a top contender for large IMS projects across the globe. The availability of large number of skilled professionals gives an upper hand for India to be preferred as the best offshore destination for infrastructure management.

Globally EDS, T-Systems, IBM and Hewlett-Packard are considered to be the top vendors of infrastructure management services while many Indian companies like Wipro, HCL, Microland, TCS and Infosys are also the prominent players in the IMS market.

Banking Financial Services Insurance (BFSI) is the major contributor to the IMS industry in India. Nearly 43 percent of the $1.4 billion IMS market comes from BFSI in India. Many multinational banking giants such as RBS, HSBC and Standard Chartered have started their operations in India to manage their IM services. Telecom services are the second largest contributor to the infrastructure management services in India.