Technology diffusion is gaining more and more importance as much as world is going towards globalization . Emerging technologies introduce opportunities for improving the progress of Software and IT sector to enhance effectiveness at many processes, creates business opportunities for organizations, and increase the competitive nature of the business. In the past five years, Pakistan's government is trying to give ascendancy to the technologies for economic stability and prosperity of the country. It is very necessary that the progressive approach towards technology diffusion should be adopted by all means and in all industries e.g. Business enterprises, IT and software sector. There is thus a need for formulating a comprehensive policy for the country that performs a well-defined role for technology diffusion to strengthens the technological base of the country. This study empirically analyze the antecedents and subsequent of technology diffusion in developing and developed countries, technology diffusion in developing and developed countries related to IT sector, technology diffusion in Pakistan, technology diffusion related to IT sector in Pakistan.