A recent report said that deployment of the public cloud computing system can add around US$ 100 billion to the Indian economy and generate 2.4 lakh direct jobs by 2023.
As it stands now, the cloud computing market in India is extremely vibrant and dynamic. Various examples of cloud computing transactions can be seen here. Where on the one hand the private sector is excelling in this regard, the government sector is also encouraging the active use and implementation of cloud-based computing operations.
“Public cloud deployments in India have the potential to contribute approximately US$ 100 billion in GDP (gross domestic product) cumulatively from 2019 to 2023. When annualized, this is equivalent to 0.6 percent of GDP and 15 percent of the GDP impact of the IT industry and 25 percent of the textile industry in India,” revealed Google Cloud-BCG joint report.
To recall, the public cloud services revenue in India was projected to total US$2.4 billion in 2019, an increase of 24.3 percent from 2018, according to Gartner, Inc. As noted by an Economic Times report last year, even though India’s revenue has represented only 1.2 percent of the global public cloud services total in 2019, it ranks among the nine countries whose growth rate will be higher than the global average growth rate (16 percent).
“The shift from ‘cloud-first’ to a ‘cloud-only’ model is pushing organizations in India to increase their spending on public cloud services to advance their digital business initiatives,” said Sid Nag, research vice president at Gartner. “Disinvestments in new data centers are also one of the early signs of this move.”
Cloud application services (SaaS) was predicted to be the fastest-growing market segment in India in 2019, accounting for nearly half of total public cloud services revenue, followed by cloud system infrastructure services (IaaS).
These last year’s prediction are seeming to get real as the new report indicates a significant growth in cloud computing market in India.
As noted by Deccan Herald, according to the recent Google-BCG report, manufacturers and financial institutions are still in the early stages of public cloud adoption due to the perceived complexity of migrating legacy data and evolving government regulations around data and security.
“Traditional retailers are expanding into e-commerce to capture digital and omnichannel revenue growth, and they are turning to the public cloud to help them scale up quickly and handle peak loads during special sales like Diwali,” Google Cloud Asia Pacific Managing Director Rick Harshman said.
He also said that access to cloud-based smart data analytics solutions also enables retailer customers to become more customer-centric and data-driven so they can optimize their spend across channels, plan inventory and manage their supply chains.
According to the report, the business efficiencies and growth resulting from public cloud deployments have the potential to generate up to 2.4 lakh jobs and impact another 7,43,000 jobs through second-order effects from 2019 to 2023.
“Of the 2,40,000 direct jobs, around 1,57,000 will be in digital and technology-related roles such as data scientists, product managers, engineering, design, user experience, and infrastructure management jobs with cloud service providers, IT service providers and across industry verticals,” the report said.
Moreover, it also implied that the public cloud deployment will create another 83,000 direct roles that will be related to core business functions across industry verticals.