As the much-awaited Union Budget 2025-26 approaches, the Indian tech industry remains optimistic about the potential for substantial growth through strategic financial policies. Stakeholders in the IT industry are eagerly hoping for Finance Minister Ms. Nirmala Sitharaman to unveil policies that will propel the industry forward in the upcoming fiscal year. Expectations are high, with industry leaders anticipating measures that would boost industry growth. The industry envisions a budget that not only pushes companies ahead but also positions India as a formidable force in the ever-evolving global IT landscape. Here are the expectations from key IT players—take a look:
Focus on Digital Transformation & Emerging Technologies
Alok Dubey, CFO of Acer India, emphasizes the need to strengthen India's digital infrastructure. He advocates for investments in next-gen technologies which are crucial for bridging the digital divide. He adds, "The upcoming budget should prioritize India's digital and technological growth by focusing on key areas such as AI, machine learning, blockchain, and 5G infrastructure. Strengthening these areas will drive innovation and help bridge the digital divide between urban and rural India. We anticipate measures to boost R&D, semiconductor manufacturing, and green technologies, which are crucial for enhancing India's position as a global technology hub.”
Alok Dubey further adds, “Policies that support startups, MSMEs, and local manufacturing—through refined PLI schemes and targeted subsidies—will play a pivotal role in strengthening the 'Make in India' initiative and reducing import dependency. Additionally, simplifying tax structures and investing in skill development will empower the tech ecosystem, driving long-term, sustainable growth. We are optimistic about the government's continued focus on digital transformation, sustainability, and self-reliance, which align with our commitment to innovation and eco-friendly practices."
Support for ‘Make in India’ and MSMEs
Alok Nigam, MD of Brother International India, stresses the need for an expansion of the Production-Linked Incentive (PLI) scheme. He comments “I hope the government broadens the Production-Linked Incentive (PLI) scheme to include office automation and printing technologies. Rationalizing import duties on critical components can further accelerate innovation and support the ‘Make in India’ initiative. If the budget shows us the support, we expect a 25-30% growth in the consumer electronics segment. India’s MSMEs, contributing over 30% to the GDP, need greater access to digital infrastructure and automation technologies. Tax incentives, subsidies, and investments in Tier 2 and Tier 3 cities can ensure the widespread adoption of advanced solutions. With a focus on innovation, digital transformation, and sustainability, the Budget 2025 has the potential to position India as a global leader in office automation while empowering businesses to compete on a global stage.”
Cybersecurity and Data Protection
Cybersecurity continues to be a top concern, with Jaydeep Singh, General Manager India Region, at Kaspersky urging the government to further invest in cybersecurity measures. He states, “We look forward to seeing more concrete steps to boost India’s cyber resilience in response to the country’s ever-shifting threat landscape. Challenges like the cybersecurity skills gap, increased attacks on critical infrastructure, and damaging ransomware incidents, indicate it is imperative to prioritize cybersecurity spending. With digital transformation playing a crucial role in the countries’ economic growth and resilience, we are confident that we will see projects and initiatives that will further strengthen our defences against malicious actors online. At Kaspersky, we remain committed to collaborating with both public and private organizations to foster knowledge-sharing and strengthen cyber capabilities, ensuring greater resilience against emerging cyber threats and safeguarding vital digital infrastructures.”
Sustainable Energy and Power Solutions
Girish Chandra, Director at Best Power Equipment, advocates for a reduction in GST on essential power backup solutions to promote the adoption of clean energy. According to Girish, “The upcoming budget is an opportunity to drive growth in the power solutions sector. Lowering GST from 18% to 12% on essential power backup and energy storage solutions will make these technologies more affordable and accelerate adoption. With India’s strong push for renewable energy, the rapid growth of the electric vehicle ecosystem, and the expansion of data centers, the demand for reliable power solutions is set to rise. Sustainability is at the core of our vision, aligning with the United Nations' 16 Sustainable Development Goals. Investing in clean energy infrastructure, energy storage, and efficient power solutions will support India’s transition towards a greener future. Incentives for innovation and local manufacturing will strengthen the industry and contribute to a self-reliant energy ecosystem. We look forward to a budget that supports growth while advancing India’s clean energy and digital transformation goals.”
Strong Push For "Make In India" Initiatives
Manoj Gupta, Managing Director of Fortune Marketing, is optimistic about the upcoming budget and its potential to boost the manufacturing sector, particularly in security, fiber, telecom, and networking products. He anticipates policies that support infrastructure development, enhance ease of doing business, and provide incentives for local manufacturers to scale operations. Mr. Gupta believes that a strong push for "Make in India" initiatives and increased focus on self-reliance in technology-driven industries will create significant opportunities for manufacturers, enabling them to contribute to India’s economic growth and global competitiveness.
Building a Cybersecure India
Sunil Sharma, Vice President – Sales at Sophos India & SAARC emphasizes the need for robust investments in cybersecurity. “Investments in cutting-edge threat detection, incentivising secure digital practices, and fostering innovation in cyber resilience could greatly complement the country’s digital transformation journey. Additionally, as enterprises take on digital transformation or AI adoption, the focus on cybersecurity may fall by the wayside as there is a gap between supply and demand of skilled cybersecurity resources. Mitigating this issue requires investments in cybersecurity courses in educational institutes as well as continuous skilling opportunities for those already working. This will ensure that enterprises remains abreast with knowledge about all possible risks as well as the solutions. With advancements in proactive cybersecurity, India can reinforce trust in its digital economy while ensuring sustainable growth in a rapidly evolving cyber landscape,” he says.
Boosting India’s Technology-Driven Growth
Muneer Ahmad, Vice President (AV Products), ViewSonic India emphasizes on the budget’s potential to boost India’s growth. He said, “We are optimistic about the upcoming Union Budget and its potential to boost India’s technology-driven growth. We hope to see stronger support for Make in India initiatives, with incentives for manufacturers to establish and expand their base locally, driving innovation and job creation. Additionally, increased budget allocation for the education sector can empower institutions with modern learning tools, ensuring greater accessibility and quality. A focused push in these areas will help accelerate India's journey toward becoming a global digital hub.
India’s Digital-First Ambitions
Kapal Suresh Pansari, Managing Director of RP Tech stresses upon the opportunity to boost India’s digital-first ambitions through incentives from government. He points out, "The upcoming Union Budget is an important moment for the technology sector, and we are eager to see measures that support India’s digital-first ambitions. Incentives for Make in India initiatives and investments in infrastructure could significantly enhance the ICT supply chain. Additionally, policies fostering innovation and skill development will be key to strengthening India's position as a global technology leader. We are optimistic about the budget paving the way for sustainable growth and new opportunities in the sector."
Driving Digital Growth
Ramanujam Komanduri, Country Manager, Pure Storage India, anticipates the Union Budget will strengthen India’s digital transformation through investments in tech infrastructure. He said, “As we approach the Union Budget, we anticipate measures that will further bolster India's digital transformation journey. Investments in technology infrastructure, including data centers, cloud adoption, and AI capabilities, are crucial for driving innovation and economic growth. We hope to see initiatives that encourage private-public partnerships and incentives for sustainable technology solutions, aligning with India's commitment to becoming a global digital hub."
Making Gaming Hardware Accessible
Vishal Parekh, COO at CyberPowerPC India hopes for reduced customs duties on gaming hardware and investments in digital infrastructure. "As we look forward to the Union Budget 2025-26, we are optimistic about measures that could empower India’s gaming ecosystem. With PC gaming titles likely to be a part of the Olympic Esports Games 2025, there’s an unprecedented opportunity to position India as a global gaming powerhouse. Provisions such as reduced customs duties on gaming hardware, tax incentives to foster growth, and investments in digital infrastructure could enhance accessibility and affordability for gamers across the country. Supporting the adoption of high-performance gaming PCs would not only fuel India’s gaming culture but also boost our chances of securing medals in global esports tournaments,” he notes.
Consumer Electronics & Smart Infrastructure
Saket Gaurav, Chairman & MD at Elista highlight the potential for significant growth in consumer electronics through expanded PLI schemes and reductions in import duties on critical components. “"The upcoming budget presents a significant opportunity for the government to support the Indian consumer durables industry. Expanding the PLI scheme and reducing import duties on critical components will significantly strengthen domestic production capabilities. Rationalizing GST rates, especially on larger screen televisions currently taxed at 28%, would enhance affordability and encourage the adoption of advanced technology, aligning with the 'Digital India' vision. Better financing options for consumers, coupled with infrastructure development, can further accelerate market growth. Policies aimed at export subsidies and favorable trade agreements will enable Indian brands to expand their global footprint and compete effectively in international markets. We believe these reforms can play a pivotal role in shaping a robust and self-reliant consumer durables ecosystem in India,” he concludes.
Investment in Skills and Innovation
Jyoti Sharma, CEO of Nasscom Foundation, emphasizes the need for targeted investments in skill development programs. As per Jyoti, “With the upcoming Union Budget 2025, we hope to see a strong commitment to advancing technology adoption and digital transformation, creating lasting impact for communities including women, the rural population and the overall economy. Targeted investments in upskilling and reskilling programs will be critical in equipping our youth with future-ready skills and unlocking opportunities in a dynamic job market and should continue to be a priority. Also, India’s deep-tech ecosystem is on the cusp of exponential growth – especially with AIForSocialGood showing great potential. Strengthening the social innovation landscape through accelerators, incubators, and dedicated support for innovation will further pave the way for sustainable growth”
The Role of Data Centers
Shrirang Deshpande, Strategic Program Head of Vertiv India underscores the rapid growth of data consumption and the demand for data centers. Shrirang says, “India has established itself as a desirable worldwide hub for data center development thanks to its extensive linked power system, investments in renewable energy, and smart digital efforts. India's skills perfectly complement the global emphasis on dependable and sustainable data solutions. We anticipate measures supporting the rise of data centers as the Union Budget draws near, such as incentives for integrating green energy, simplified regulations for expanding infrastructure as well as initiatives to improve connectivity in tier-2 and tier-3 cities, generating employment opportunities. Additionally, targeted policies could streamline processes for data centre vendors, enabling them to invest in advanced technologies and infrastructure.”
Advancing AI and Data Infrastructure
Puneet Gupta, VP and MD of NetApp India/SAARC envisions a future where robust data infrastructure underpins AI-driven growth. According to Puneet, “As India moves closer to becoming a global technology hub, the upcoming Union Budget presents a unique opportunity to accelerate our digital transformation journey. To fully harness the potential of AI and emerging technologies, the government should prioritize investments in building intelligent data infrastructure. Robust and scalable data solutions will serve as the backbone for AI readiness. It will enable businesses to leverage data efficiently and securely while driving innovation. Incentives for cloud adoption, data localization frameworks, and public-private partnerships in technology can further bolster India’s digital economy. A future-ready data ecosystem is essential for fostering economic growth, job creation, and global competitiveness in the age of AI.”
Fostering R&D and Innovation
According to Amit Chadha, CEO & MD, L&T Technology Services, sustained government focus on incentivizing R&D can unlock immense potential for engineering services. He points out, “At LTTS, we strongly believe that the government’s sustained emphasis on incentivizing investments in R&D and creating a conducive ecosystem for technology-led advancements can unlock immense potential for engineering services firms. Such initiatives will not only strengthen India’s standing as a preferred destination for global ER&D but also catalyze economic growth by delivering value across sectors like manufacturing, energy, and mobility. We expect the budget to further accelerate India's growth momentum by introducing policies that promote investments in research and development, digital transformation and advanced skill development.
Amit further adds, “We are optimistic that the budget will introduce policies supporting innovation, sustainability, and growth, aligning with initiatives like the National Green Hydrogen Mission. This will likely foster a business-friendly environment, boosting investments in research and development, digital transformation, and skill development, ultimately driving India's growth momentum forward."
Boosting AI and Digital Infrastructure
Rajeev Singh, MD, BenQ India and South Asia, advocates targeted investments in AI and rural digital infrastructure. "As we approach the Union Budget 2025, targeted investments in emerging technologies such as artificial intelligence (AI) should remain a key area of focus. With India's AI market projected to reach $17 billion by 2025, there is a strong call for enhanced government support in AI research and innovation. This includes the need for research grants, tax incentives, and public-private partnership frameworks to make long-term AI research commercially viable,” he notes.
Rajeev further stated, “We also strongly anticipate enhancements in digital infrastructure, particularly in rural areas, to improve financial inclusion and integrate underserved communities into the economy. The budget should also consider the necessity of high-performance computing resources, data centers, and specialized AI hardware to support innovation. Government support through shared infrastructure models could democratize access to these essential resources and facilitate the growth of AI capabilities across the nation. With the manufacturing sector being a critical driver of economic growth, we also hope for expanded Production Linked Incentive (PLI) schemes that could create millions of jobs while enhancing India’s manufacturing exports.”
Enhancing Cybersecurity and Workforce Upskilling
Dipesh Kaura, Country Head, Securonix, underscores the importance of government support in cybersecurity. He comments, “As we get ready for the much-awaited Union Budget 2025, the cybersecurity industry awaits measures that are committed towards securing India's digital future. With rapid digitization and the adoption of advanced technologies such as AI, IoT, and blockchain, the cybersecurity landscape is evolving, necessitating robust policies and investments to mitigate threats. We believe that government policies are playing a great role in the inculcation of innovation and resilience in cybersecurity. Our expectations from this year's budget revolve around three major areas, Incentivize R&D in Cybersecurity, Strengthen Public-Private Partnerships and Upskilling the Workforce.”
Expansion of PLI Scheme for Consumer Electronics
Avneet Singh Marwah, CEO, SPPL, a Kodak and Blaupunkt Brand Licensee stresses the need for expansion of the PLI scheme for consumer electronics. He notes, "As a key player in India's TV manufacturing sector, we are eagerly awaiting the Union Budget 2025 and its potential to boost domestic manufacturing. We believe expanding the Production Linked Incentive (PLI) scheme for consumer electronics will enhance the competitiveness of Indian manufacturers globally, driving production capacity, innovation, and job creation. We also hope the government will rationalize import duties on key components like display panels and semiconductors, reducing input costs and fostering more affordable, high-quality products. Indian TV market is degrowing by 13 percent year on year. Any increase in custom duty will hamper more.”
He further adds, “We expect the Budget to focus on improving the ease of doing business, access to credit, and promoting green manufacturing practices, all of which would support India’s goal of becoming a global electronics hub. With the right policy measures, including PLI expansion and custom duty adjustments, we are confident India’s TV manufacturing sector will thrive and contribute significantly to the global electronics market."
Conclusion
As India sets its sights on becoming a global leader in technology, the Union Budget 2025 presents a unique opportunity to fuel the nation’s digital aspirations. From AI and data infrastructure to cybersecurity and clean energy, industry leaders are hopeful that the government will pave the way for a future-ready India that is digitally empowered, self-reliant, and poised for sustainable growth.
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