Bessemer Venture Partners (BVP), a venture capital company, has forecasted that the Indian software-as-a-service (SaaS) sector could achieve a value of $50 billion by 2030. Moreover, established companies and emerging unicorns within this industry are anticipated to collectively earn revenues ranging from $20 to $25 billion by the same year.
The Indian SaaS market is expected to undergo substantial expansion. It is projected to increase:
- From $13 billion in 2022
- $25 billion by 2025
- $35 billion by 2027, and
- $50 billion by 2030
According to the report, there was an increase in the count of companies generating over $100 million in annual recurring revenue (ARR), rising to 11 in 2023 from the previous nine in 2022. Additionally, the number of companies with an ARR ranging from $50 million to $100 million also saw growth, reaching 16 in 2023 compared to 12 in the previous year.
In 2023, no new unicorns emerged due to challenging funding conditions and overall economic constraints. This is in contrast to the previous year, which saw the emergence of around nine such high-value startups.
However, in 2022, BVP announced the inclusion of three additional centaurs. These centaurs refer to private SaaS (Software as a Service) companies that achieved a significant milestone by surpassing $100 million in annual recurring revenue (ARR).