India’s software services exports rose 8.2% year-on-year to $221.4 billion in 2025–26, according to the Reserve Bank of India’s latest annual survey. The figures highlight the continued importance of India’s technology and IT-enabled services industry as businesses worldwide accelerate their adoption of artificial intelligence, cloud computing and digital services.
US Remains the Largest Market
The United States remained the biggest destination for Indian software services, accounting for 54.1% of exports, or approximately $119.7 billion. Europe followed with a 31.8% share, while the UK accounted for 15.4%.
The RBI survey also found that software services were increasingly delivered remotely, with 91.7% of software services exports delivered through off-site services during 2025–26.
IT Services Remain the Largest Component
Computer services accounted for 69.3% of India’s software services exports. IT services exports increased to around $147 billion, while IT-enabled services reached approximately $68 billion.
Including software services delivered through overseas commercial operations of Indian companies, total software services exports increased 9.5% to $239.3 billion during 2025–26.
AI Is Changing the Technology Industry
The growth comes at a time when artificial intelligence is changing the nature of technology services. Indian companies are increasingly focusing on AI, cloud computing, automation, data analytics and other higher-value digital capabilities.
Industry hiring trends are also showing increasing demand for professionals with AI, cloud and digital skills. This shift could reshape traditional software-development and IT-service roles as companies look for greater productivity and specialised expertise.
What Comes Next for India’s Technology Sector?
The latest export numbers show that India’s software industry continues to expand even as AI changes how technology services are delivered.
The next phase could increasingly depend on how companies combine existing IT expertise with AI, automation, cloud infrastructure and specialised digital skills.
For technology professionals, businesses and policymakers, key issues will include productivity, workforce training, cybersecurity, data governance and the ability to move toward higher-value technology services.
Key Takeaways
- Software services exports: $221.4 billion
- Year-on-year growth: 8.2%
- US share: 54.1%
- IT services exports: Approximately $147 billion
- Off-site services: 91.7%
- Total exports including overseas commercial presence: $239.3 billion
- Major growth areas: AI, cloud, automation and digital services
Conclusion
India’s software-export growth reflects the continuing global demand for its technology and digital services. As artificial intelligence becomes increasingly integrated into the sector, the industry is likely to place greater emphasis on specialised skills, productivity and higher-value technology solutions.
DIT Media Network will continue tracking India’s technology, AI and business developments.
Sources
- Reserve Bank of India — Survey on Computer Software and ITES Exports
- News On AIR — India’s software services exports
- Reuters — AI and India’s IT services sector
- Business Standard — IT services and AI hiring trends
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