Emergence of India as the World Leader in Computer and Information Services

The paper analyses the changing leadership in computer and information services exports in the world. Leadership, measured in terms of export shares, appears to have moved from the United States, United Kingdom and Germany to Ireland and then to India. India has been trying to maintain her leadership through improvements in technological capability and in the process has also become a base for multinationals to set up operations. These multinationals have been increasing their innovative ctivities in India as revealed through increased patenting, and domestic Indian enterprises have followed, although very slowly, in improving their technological capability. Two conclusions can be drawn. Leadership in CIS is basically a function of the availability of highly trained software engineers. But the sustainability of leadership depends on whether the industry is domestic or foreign owned. The paper analyses the changing leadership in computer and information services exports in the world. Leadership, measured in terms of export shares, appears to have moved from the United States, United Kingdom and Germany to Ireland and then to India. India has been trying to maintain her leadership through improvements in technological capability and in the process has also become a base for multinationals to set up operations. These multinationals have been increasing their innovative activities in India as revealed through increased patenting, and domestic Indian enterprises have followed, although very slowly, in improving their technological capability. Two conclusions can be drawn. Leadership in CIS is basically a function of the availability of highly trained software engineers. But the sustainability of leadership depends on whether the industry is domestic or foreign owned.