Impact of Cloud Computing in India

Impact of Cloud Computing in India

Impact of Cloud Computing in India

Did you know that the total cloud computing market in India is pegged at $110 million and is expected to reach figures of $1,084 million by 2015? An article by Zinnov Management Consulting, titled "Cloud Computing in India: Opportunities & Way Forward," explains that in the cloud computing market in India, Software-as-a-Service has witnessed the most rapid uptake until now. The study further adds that "as components of the overall cloud market, Software-as-a-service (SaaS) in India is likely to reach a mark of US$ 650 million by 2015, while Platform-as-a-service (PaaS) and Infrastructure-as-a-service (IaaS) markets cumulatively would touch $434 million each by then." In fact, sometime last year, Microsoft's CEO Steve Ballmerhad opined in the press that "India will not only see a surge in cloud computing services but companies all over the world will look to India to support their transition to cloud computing.''

With so much confidence being shown for cloud computing in India, the fact remains that cloud computing in Indiais still in its very early stages and enterprises are yet to fully comprehend the actual benefits of private clouds, public clouds or even IaaS, PaaS and SaaS. Although India has shown ample scope of cloud computing services being used by IT enterprises, enterprises are still unsure about adopting the cloud. The Indian IT industry, which grew from a $100 million industry to an industry that has crossed the $50 billion mark in 2010, relies mostly on outsourced software work. The companies that have understood the changes that cloud computing can bring to their core businesses have already started evolving to being not just providers of software solutions but also software utility companies.

Indian enterprises are slowly growing aware that the cloud will be useful in terms of management and network infrastructure and will also help optimize service models. Additionally cloud computing will help decrease the effects of capital expenditures as the cloud will help manage costs. For cloud computing truly to prosper there is a need to deploy a platform that can be as significant and large in scale as Google and Amazon are currently. Also cloud computing providersdo not have large data centers that are capable of large scale services. Issues that may hinder building better and bigger data centers in India include irregular electricity supply and network connectivity, among others. Also the bigger question of security also crops up. Yet with all such issues, there is a slow but definite shift in interest towards cloud computing by most Indian enterprises.

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