why cloud computing has high penetration in india_ _ et cio
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10/1/2014 Why cloud computing has high penetration in India? | ET CIO
http://cio.economictimes.indiatimes.com/news/cloud-computing/why-cloud-computing-has-high-penetration-in-india/30991526 1/4
An initiative of The Economic Times
Why cloud computing has highpenetration in India?
It is more than a mere coincidence that SatyaNadella, before moving into the shoes of BillGates and Steve Ballmer as the CEO ofMicrosoft, was heading cloud computinginitiatives of the company. His elevation fromhead of cloud computing to the post of CEOshows the growing significance of cloudservices within the IT giant.
The entire ecosystem, be it service provider, vendor, research firms, etc are positive aboutthe growth of cloud computing.
Research firm IDC in a recent study predicted that in 2014 spending on cloud serviceswould surge 25% to over $100 billion worldwide.
CIOs in India have also adopted cloud computing with open arms. The adoption rate ofcloud computing is 67%, as per IDC.
It is lower than countries such as Singapore, Australia and New Zealand. However, IndianCIOs have adopted cloud for more strategic purposes like collaboration solutions, disasterrecovery, supply chain management, etc. On the other hand, CIOs of South Asian countrieshave moved only basic applications like database hosting, email hosting, back-up, serversand storage on cloud.
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#Cloud Computing » #sandra Ng #India #IDC #Cloud computing #CIO
By Akhilesh Shukla | 30 May 2014, 3:02 PM IST
10/1/2014 Why cloud computing has high penetration in India? | ET CIO
http://cio.economictimes.indiatimes.com/news/cloud-computing/why-cloud-computing-has-high-penetration-in-india/30991526 2/4
The main reasons for high usage and adoption of cloud in India are its cost-effectiveness,agility and scalability. Cloud also suits the present need of CIOs, who are asked to showquick results and high return from every investment made on IT infrastructure.
"Cloud computing has several benefits, which are driving its adoption worldwide. It helps theCIOs to save IT resources, space, and it is also scalable. It can be quickly deployed,reduces the capital expenditure as well as the time to market," said Sandra Ng, Group VicePresident, Practice Group, IDC Asia/Pacific. "It's a win-win situation for them," she added.
But cloud computing comes with its own risks and apprehensions. Data security is one ofthe major concerns for technology buyers. Meeting compliances is another barrier toadoption of cloud. Apart from these, factors such as lack of understanding of how cloudworks, vendor lock-in, and upgrades required in the existing infrastructure are some otherconcerns of users.
"It is not that Indian CIOs are not aware of the risk factors involved in adoption of cloudcomputing. But they try to ignore them, as they look at the merits (faster and cheaper) ofcloud computing," pointed out Sandra.
Another factor that is discreetly driving cloud computing in the country is lack of regulatoryguidelines.
In the West, permissions are required from the authorities in case an organisation is movingany data, services or applications on cloud. In Europe, an organisation requires permissionfrom the government to store data out of the physical geography of the country. Similarly,National Security Agency needs to access any data, any time in the US.
"It is true that cloud is popular in India because it is cheap and we do not have anyguidelines for data security and privacy. Indian government and to some extent CIOs are yetto rise to the growing challenge of data security and privacy. Off-late, we have seen someaction. But it will take some more years for them to match steps with their western counterparts," said Manpreet Singh, director, Technology Business Services, Capita. Capitaprovides business process outsourcing and integrated professional support servicessolution in UK. The company has an India office in Pune.
10/1/2014 Why cloud computing has high penetration in India? | ET CIO
http://cio.economictimes.indiatimes.com/news/cloud-computing/why-cloud-computing-has-high-penetration-in-india/30991526 3/4
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India has always been a price-sensitive market. CIOs, just like other denizens, are noexception to the rule. They love to shop cheap goods including technology. But securityshould not be compromised, especially, when around 80% of the critical infrastructure is inhands of private organisations.
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10/1/2014 Why cloud computing has high penetration in India? | ET CIO
http://cio.economictimes.indiatimes.com/news/cloud-computing/why-cloud-computing-has-high-penetration-in-india/30991526 4/4
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