The India software as a service (SaaS) market stood at a value of around USD 7.18 Billion in 2024. The market is further anticipated to grow at a CAGR of 27.30% in the forecast period of 2025-2034 to attain USD 80.24 Billion by 2034.
Rising Demand for SaaS in the IT and Telecom Industry to Bolster the Growth of the Software as a Service Industry in India
Based on end use sector, the IT and telecom industry accounts for a significant share in the SaaS industry. The growth can be attributed to the increased usage of internet across the country and the growing subscriber base in the telecommunications market. This has been propelling the demand for SaaS for software licensing in the IT and telecom industry. Over the forecast period, the increasing penetration of smartphones and the low data cost are likely to bolster the usage of cloud computing in India, which, in turn, is expected to augment the growth of the overall market. The multitenant architecture of SaaS, which means that a single version of SaaS solution can be used for all customers, is likely to enhance the scalability and popularity of SaaS solutions in India.
Increasing Demand from Medium and Large Enterprises to Boost the Software as a Service Industry Growth in India
On the basis of organisation size, the medium and large enterprises account for a significant share in the market, as the demand for SaaS solutions is significantly high from this segment. In medium and large enterprises, SaaS solutions are required for several business applications, such as office software, messaging software, payroll processing software, customer relationship management (CRM), DBMS software, management software, and enterprise resource planning (ERP), among others. Meanwhile, the growth of SMEs in India has been significant and is likely to flourish in the forecast period. This is likely to bolster the demand for SaaS in SMEs too in the forecast period, thus, aiding the industry growth.
The technological advancements and innovations in order to boost business productivity, along with the growing number of internet users, have been driving the growth of the software as a service market in India. These advancements include the penetration of artificial intelligence, adoption of cloud computing, and others. Further, the growing adoption of remote work and work from home models and the increasing reliance on technology amidst the COVID-19 pandemic have caused a surge in IT spending by various industries. This is likely to be a key trend fostering the growth of the India SaaS industry in the forecast period.
Rising Demand for SaaS in the IT and Telecom Industry to Bolster the Growth of the Software as a Service Industry in India
Based on end use sector, the IT and telecom industry accounts for a significant share in the SaaS industry. The growth can be attributed to the increased usage of internet across the country and the growing subscriber base in the telecommunications market. This has been propelling the demand for SaaS for software licensing in the IT and telecom industry. Over the forecast period, the increasing penetration of smartphones and the low data cost are likely to bolster the usage of cloud computing in India, which, in turn, is expected to augment the growth of the overall market. The multitenant architecture of SaaS, which means that a single version of SaaS solution can be used for all customers, is likely to enhance the scalability and popularity of SaaS solutions in India.
Increasing Demand from Medium and Large Enterprises to Boost the Software as a Service Industry Growth in India
On the basis of organisation size, the medium and large enterprises account for a significant share in the market, as the demand for SaaS solutions is significantly high from this segment. In medium and large enterprises, SaaS solutions are required for several business applications, such as office software, messaging software, payroll processing software, customer relationship management (CRM), DBMS software, management software, and enterprise resource planning (ERP), among others. Meanwhile, the growth of SMEs in India has been significant and is likely to flourish in the forecast period. This is likely to bolster the demand for SaaS in SMEs too in the forecast period, thus, aiding the industry growth.
Software as a Service (SaaS): Market Segmentation
Software as a service is a model of software delivery in which a particular software is licensed on a subscription basis and is centrally hosted. Through SaaS, any data can be accessed from any device with a stable internet connection and a web browser. BigCommerce, Google Apps, Salesforce, Dropbox, Mailchimp, and ZenDesk, among others are some examples of SaaS.On the basis of deployment, the market is divided into:
- Public Cloud
- Private Cloud
- Hybrid
The various applications of the product include:
- Customer Relationship Management (CRM)
- Operations and Manufacturing
- Enterprise Resource Planning (ERP)
- Content Management Systems
- Human Capital Management (HCM)
- Supply Chain Management
- Others
Based on organisation size, the market is bifurcated into:
- SMEs
- Medium and Large Enterprises
The various end use sectors of the product include:
- IT and Telecom
- Manufacturing
- BFSI
- Healthcare
- Retail
- Education
- Government
- Others
The technological advancements and innovations in order to boost business productivity, along with the growing number of internet users, have been driving the growth of the software as a service market in India. These advancements include the penetration of artificial intelligence, adoption of cloud computing, and others. Further, the growing adoption of remote work and work from home models and the increasing reliance on technology amidst the COVID-19 pandemic have caused a surge in IT spending by various industries. This is likely to be a key trend fostering the growth of the India SaaS industry in the forecast period.
Key Industry Players in the India Software as a Service (SaaS) Market
The report gives a detailed analysis of the following key players in the India software as a service (SaaS) market, covering their competitive landscape, capacity, and latest developments like mergers, acquisitions, and investments, expansions of capacity, and plant turnarounds:- Infosys Limited
- Microsoft Corp.
- Cisco Systems, Inc.
- Zoho Corporation
- Wingify Software Pvt. Ltd
- Others
Table of Contents
1 Executive Summary
2 Market Overview and Stakeholder Insights
3 Economic Summary
4 Country Risk Profiles
5 India Software as a Service (SaaS) Market Analysis
6 Market Dynamics
7 Competitive Landscape
Companies Mentioned
The key companies featured in this India Software as a Service (SAAS) Outlook Report - market report include:- Infosys Limited
- Microsoft Corp.
- Cisco Systems, Inc.
- Zoho Corporation
- Wingify Software Pvt. Ltd
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 148 |
| Published | August 2025 |
| Forecast Period | 2025 - 2034 |
| Estimated Market Value ( USD | $ 7.18 Billion |
| Forecasted Market Value ( USD | $ 80.24 Billion |
| Compound Annual Growth Rate | 27.3% |
| Regions Covered | India |
| No. of Companies Mentioned | 5 |
