We all know that India India is definitely a country with huge potential market for cloud computing services. Well, according to research firm Zinnov, the spending on cloud services is expected to cross $10 billion by 2020 which will be driven by factors like investments to set up local data centres and rapidly growing developer ecosystem in the country. Public cloud, under which a third-party cloud service provider makes resources like applications and storage available to the general public over Internet, is expected to grow at a CAGR of over 34% to touch $3.9-4 billion by 2020. Zinnov in its study titled ‘Indian Public Cloud Market Landscape’ said that India continues to be a prominent market for cloud technology adoption and public cloud market is likely to cross the $1 billion mark in 2016. Also Read - FIR filed against Twitter India again, now over child pornography contentAlso Read - Mi Notebook Pro X to be Xiaomi's most expensive laptop yet, launch tomorrow
“With multiple growth drivers like investments in local data centers, maturing channel partner ecosystem, and rapidly growing developer ecosystem, cloud spending will continue to dominate the market landscape and cross the $10 billion mark by 2020, including both public and private cloud spending,” the study said. Cloud computing frees companies from potentially expensive costs of purchasing, managing and maintaining hardware and software infrastructure. Software-as-a-Service (SaaS) is expected to continue to be the biggest spend category within public cloud at $2.6-2.8 billion, followed by Infrastructure-as-a-Service (IaaS) and Platform-as-a-Service (PaaS) cumulatively accounting for $1.2 billion by 2020.
While the mature enterprise ecosystem is driving significant demand, the vibrant SMB/startup landscape and government initiatives are indeed bound to increase the public cloud consumption going forward, the report said. IT/ITeS vertical accounts for 35-45% of the total public cloud spending, while massive investments in data centres by technology vendors for banking, financial services and insurance segment is driving cloud adoption. ALSO READ: India has huge potential for cloud computing services: Alibaba VP
Other sectors like manufacturing, healthcare, retail/ e-commerce and telecom are also driving adoption. “Cloud market will present a $10 billion opportunity by 2020 and positions India as a strategic market for global cloud vendors. We expect technology companies to continue to make investments in innovative go-to-market strategies and partnerships to tap this huge opportunity,” Zinnov Partner and Practice Head Praveen Bhadada said. Zinnov expects to see at least 15-20 top global cloud companies enter India market in a big way in the next 12 months, he added.