According to a recent report by TeamLease Digital, only 5.5% of Indian engineers possess basic programming skills. The study, titled “Skills & Salary Primer for FY 2025,” highlighted the need for significant reskilling in the Indian tech industry. Despite advancements in technologies such as artificial intelligence (AI), machine learning (ML), blockchain, the Internet of Things (IoT), robotic process automation (RPA), edge computing, and quantum computing, a mere 2.5% of Indian engineers have skills in AI.
To address this skills gap, 86% of Indian businesses are actively reskilling their IT workers. The Indian tech market size stood at $254 billion by FY24, growing at a rate of 3.8% year-on-year, and supported by a workforce of 5.6 million. Key functional areas identified in the tech ecosystem include software development and engineering, cloud solutions, enterprise application management, project management, user experience, data management and analytics, cybersecurity, network development, system operations, and tech support services.
The report also provided insights into salary trends within the industry. In Global Capability Centers (GCCs), AI/ML engineer roles start at around Rs. 8.2 lakh per annum and can go up to Rs.
Tech industry salary trends
43 lakh per annum at senior levels with over 8 years of experience. In the IT products and services sector, entry-level positions start at Rs.
9.7 LPA and can reach up to Rs. 20.7 LPA with experience. Entry-level data engineering roles saw a 12.07% year-on-year salary increase from FY24 to FY25.
Mid-level product management professionals witnessed a 10.2% rise, while senior positions in data science and DevOps experienced nearly 11% growth. Metro cities such as Bengaluru, Gurgaon, Hyderabad, Delhi, Mumbai, and Chennai offer the highest salaries for tech roles. Jaipur, Indore, and Coimbatore are emerging as new tech hubs, particularly for functions in data science, product management, and data engineering.
Neeti Sharma, CEO of TeamLease Digital, commented, “The Indian tech industry is on track to reach $350 billion in revenue by 2025, with significant investments in AI, machine learning, and blockchain totaling over $9 billion in 2023 alone. This growth is driven by the rise of remote work and digital-first strategies, accelerating cloud computing adoption and positioning India as a leader in global technological advancements.”
