Technology and Internet
Is the Indian SaaS Story Overhyped?
29 Oct 2021
As the world went remote during the pandemic, many companies, from small and medium enterprises to large companies, adopted software-as-a-service (SaaS) with open arms. Or, rather they were forced to embrace it. This has made SaaS more promising than ever before and India’s SaaS community is today getting global recognition.
According to a report by SaaSBOOMi and McKinsey, India’s SaaS industry is projected to generate revenue of $50-70 billion and win 4-6 per cent of the global SaaS market by 2030, creating as much as $1 trillion in value.
However, we at Entrepreneur India, observed that the number of SaaS soonicorns, as mentioned in the list prepared by PGA Labs, the market intelligence business unit of Praxis Global Alliance, is not significant. Out of the 36 soonicorns in the list, that is startups valued above $200 million and have the potential to be unicorns in the next 12-18 months, including Dunzo, Capital Float, Classplus, only one startup, that is GreyOrange, is from the SaaS segment. The highest is from the fintech sector, followed by logistics and edtech.