New Delhi: Public cloud services market in India to touch $.7.4 billion by 2024, according to IDC Worldwide Semiannual Public Cloud Services Tracker.
The India Public cloud services market including the s infrastructure-as-a-service (IaaS), platform-as-a-service (PaaS) and software-as-a-service (SaaS) touched $1.6 billion in the first half of 2020. The overall, Public cloud services market in India is growing at a 22.2% CAGR for 2020-24.
“The current uncertainty has accelerated the demand for public cloud services. Getting to the “next normal” entails businesses to leverage cloud as part of their business plans,” said Rishu Sharma , Principal Analyst -Cloud and Artificial Intelligence, IDC India.
“Organisations state cloud is imperative in attaining their core business objectives. Enterprises across verticals like financial services, IT/ITeS, media, education among others are witnessing a surge in demand,” added Sharma.
The spending continues to solidify with the top two cloud providers capturing close to 52% of the Indian public cloud services market in the 1H 2020.
From a segment perspective, SaaS forms the largest component of the overall public cloud services market with over 63% of the overall market in 1H2020, followed by IaaS and PaaS segment.
The public cloud market has nearly tripled since 2016. As businesses focus on gaining agility, flexibility, and resilience, reliance on cloud platforms and infrastructure as well as software as a service will become pivotal.
Although most organisations in India have adopted cloud in some stage, the current pandemic situation has now enabled organisations to rely on public cloud IaaS and PaaS to expedite the development process and deployment of business applications.
Enterprises which adopted cloud and other digital technologies fared better than enterprises with traditional IT systems during the pandemic, thereby stressing the urgent need for digital transformation, according to Harish Krishnakumar, Senior Market Analyst, IDC India.
During the pandemic, Krishnakumar said that there has been an increase in demand for cloud-based collaboration tools, content management solutions, and online streaming platforms.
“We are witnessing demand from large enterprises, tech startups and government institutions. The pandemic, along with investments from tech giants is expected to propel the adoption of cloud among SMBs,” added Krishnakumar.