The Indian Public Cloud services market revenue reached $3.6 billion for 2020 and is set to reach $9.5 billion by 2025, growing at a CAGR of 21.5 per cent, according to the recent IDC report.
For second half of 2020, the Indian public cloud services market totalled $1.9 billion, according to the IDC’s ‘Worldwide Semiannual Public Cloud Services Tracker’. The Public Cloud services market includes the infrastructure-as-a-service (IaaS), platform-as-a-service (PaaS) solutions and also software-as-a-service (SaaS).
“Public clouds played a critical role for organisations in 2020, driven by business continuity, flexibility and agility. Cloud will become crucial as organisations expedite the development process and deployment of business applications to meet the changing work and business environment,” stated by Rishu Sharma, IDC India.
SaaS continued to be the largest component of the overall public cloud services market, followed by IaaS and PaaS last year. The spending continues to stimulate, with top two service providers holding 49 per cent of the Indian public cloud services market for 2020.
Even though the ventures in the country have been discussing cloud adoption for past few years, the Covid-19 pandemic forced enterprises to expedite their cloud strategy.
“This accelerated cloud adoption in the country by several years. Businesses started adopting cloud to host a wide array of applications ranging from email servers to many complex systems like data warehousing, advanced analytics, etc,”mentioned by Senior Market Analyst- Harish Krishnakumar, IDC India.
There was also an increased resettling of enterprise applications to the cloud.
“Moreover, the remote working induced by the harsh pandemic moved the demand for remote storage capabilities and also resulted in increased adoption of cloud-based collaboration tools, VDI applications, etc,” Krishnakumar also added.
The covid wave continued to be the key driver of cloud adoption as companies continued their investments in cloud infrastructure, platforms, and software to enhance the resiliency of their business operations and equip themselves to tackle successive waves of the pandemic. As business objectives focuses at attaining resiliency, IDC expects the cloud adoption to be further accelerated for rapid digital innovation.