Impacts of App Economy on Indian IT sector
rapid and overwhelming growth of apps can have a transformative impact on
livelihoods and businesses are supported by empirical evidence that is being very
carefully collected across the globe. By creating and building smart phones
more powerful and robust, apps, aided by high-speed networks and innovation can
have very essential productivity enhancing impacts throughout the economy. This
new evidence on the ‘app’ economy comes very close on the heels of identical
evidence for mobiles and World Wide Web that is now firmly established as part
of telecom folklore.
is quite useful to analyse and understand the value of a very sound and
competitive telecommunications system to completely appreciate the route
through which app impacts are created and transmitted. It has been undoubtedly proven
that access to telecommunications improves our productivity remarkably by;
inter alia, reducing information asymmetries and containing transactions costs.
Since mobiles have replaced most of the fixed lines in developing economies,
the overall growth impact of mobile device is higher than that for developed
economies. Evidence of the impacts of
apps could be expected to be along identical lines for developing economies. On
contrary to simple mobile telephony, the app economy prospers only in the
presence of a technological ecosystem rather than in isolation.
app economy also shares complementarities with India’s well established and booming
IT software services industry. The economic crisis of year 2008 brought the IT industry
and related sectors under pressure and software firms resorted to layoffs
and/or a slowdown in fresh recruitment.
major challenge from Chinese and Russian firms exacerbated the situation. The
upcoming app economy can become a readily backed solution for graduating
computer science engineers/ experienced IT professionals in India. With a
correct guidance, adequate training and orientation, India’s talented software
engineers and developers can be absorbed in this steadily expanding and exploding
sector. For the United States of America, apps are credited to have created more
than 6, 75,000 jobs as of December 2015. The cumulative effects of mobile
economy estimate the direct, indirect and induced employment multipliers for
India’s app sector and also help to identify constraints in the development,
distribution and usage of apps. Further study has so far attempted to capture
the economic and social impacts of apps in India. The app culture has developed
an environment of steadiness and hope for the Indian youth IT aspirants with an
assurance of a bright future in this field.