Amid geopolitical tensions, global economic challenges, government protectionism, and ongoing supply chain disruptions, the global Engineering Research & Development (ER&D) sector has demonstrated resilience and growth despite headwinds. It’s evident from the substantial increase in ER&D expenditure, with India’s share in global business ER&D sourcing expected to rise from $44-45 billion in FY23 to $130-170 billion by FY30.
This starkly contrasts with the relatively flat performance of the IT sector in recent years, which will grow at 3-4% this year, estimates Amit Chadha, CEO & MD of LTTS, while ER&D will grow around 7%.
It brings up the question: what is propelling the growth of ER&D vis a vis the IT sector?
The pace of technological change has accelerated considerably, says Chadha. “Earlier the cycle used to be between 5-6 years, today the technology change is happening on a…
