IT infrastructure spending that includes servers, storage, and enterprise networking equipment will total $2.2 billion in 2017 in India, a 1.5 percent increase from 2016, market research firm Gartner said on Thursday.

Enterprise networking is the biggest segment of the Indian IT infrastructure market with revenue expected to reach $1.1 billion this year.

"Digital transformation is bringing in new sets of challenges and opportunities for Indian infrastructure leaders. They have the unique opportunity of being at the helm of this shift within their organisation, provided they align with the imperatives of the digital world," said Naveen Mishra, Research Director at Gartner.

Digital workplace is the new mantra for enterprises as more digital natives join the workforce. Business and IT leaders are focused on building an agile infrastructure that can address the needs of the changing workforce demographics.

Cloud computing is expected to become pervasive as an infrastructure layer, given its elasticity, and it creates a need for IT leaders to plan for managing various cloud options.

"With a revenue projection of $352 million in 2017, storage investment will witness a small increase primarily driven by technology alternatives such as software-defined storage(SDS), and flash based storage coupled with continued focus on SAN-based storage," added Mishra.