India’s IT sector is undergoing a significant transformation as growth accelerates in Tier-2 and Tier-3 cities, propelled by the expansion of the Software Technology Parks of India network. According to Union Minister of Electronics and Information Technology Ashwini Vaishnaw, software exports reached $224.4 billion in FY 2024–25, up from $136 billion in 2019. The total revenue from the IT industry stood at $282.6 billion, with employment rising to 5.8 million from 4.14 million in 2019.
The STPI network now comprises 68 centres, with 60 located in non-metro cities such as Bhagalpur, Darbhanga, Vijayawada, and Jajpur. Over the past five years, 9 new STPI centres and 15 Centres of Entrepreneurship have been established to support startups in emerging technologies including AI, blockchain, agritech, and gaming.
These initiatives have generated 298,000 jobs in non-metro areas through STPI-registered units, with an additional 9,800 jobs created via startup incubation programmes. A total of 1,121 startups have received assistance under government schemes, with Rs 398.6 million disbursed to 590 startups.
The Next Generation Incubation Scheme and other digital innovation programmes have strengthened India’s position in the global software product market. Patent filings by Indian startups have surged from 4,331 in 2019 to nearly 90,000 in 2024, reflecting a growing emphasis on intellectual property and product development.
Youth-led digital innovation is on the rise under schemes such as GENESIS, TIDE 2.0, and SAMRIDH, aligned with the National Policy on Software Products 2019. Software exports from STPI-registered units have crossed Rs 10.64 trillion, underscoring the success of the government’s push for decentralised IT growth.
By extending innovation to smaller cities, India is building a more inclusive and resilient digital economy.
