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December 30, 2022

The Opportunities and Impact of Cloud Computing on the Indian Economy

India is one of the fastest-growing public cloud markets in the APAC region with a projected growth rate of 25% and a growth value of USD 6 billion between 2018 and 2023. According to NASSCOM-EY, 78% of Indian IT companies have moved to the cloud post-2019 with media companies, financial institutions, manufacturers, retailers, and large enterprises following the trail. The Indian government has also issued several cloud-first initiatives like MyGov Saathi, Curfew ePass, Covid-19 repository, and Aarogya Setu to ensure timely services.  

The Indian market has outpaced global growth rates with a CAGR of 44%, driven by a growing digital population, enterprise digitization, investments, and favorable government policies. However, cloud maturity is essential for the country’s continued progress towards ‘Digital India’.  

According to a NASSCOM report, if the Indian government and businesses are late to adopt the cloud, we may potentially lose USD 118 billion in GDP and 5 million job opportunities in the next five years. Unaccelerated cloud adoption can push Indian industries to the risk of becoming irrelevant and falling behind in growth, innovation, and competitiveness.   

To realize the full potential of cloud and scale at a national level, there is a pressing need for stakeholders to take major initiatives across talent building, regulatory support, and cloud adoption. According to a report by IBM, 66% of Indian enterprises reveal that their teams lack the necessary skills for managing cloud adoption. 39% of respondents, on the other hand, report that a lack of technical skills keeps them away from integrating ecosystem partners into the cloud infrastructure.  

Thus, it is now on education companies like CloudThat and EdTechs to upskill the Indian workforce and accelerate cloud adoption. A skilled workforce is vital to building, maintaining, and augmenting virtualized platforms. A certified team also ensures that all operations run smoothly, there are no downtimes, and potential lapses in data security measures are taken care of. A talent drought on the other hand results in extended timelines and delayed projects.  

Bhavesh Goswami, Founder & CEO, CloudThat has shared his thoughts on the future opportunities and impact of the cloud on Indian economy in this email interaction with CXO Today