Public cloud services providers in India will enjoy steady growth in 2014, says technology analyst firm Gartner. The public cloud market as a whole in India will be worth $556 million USD with many sub-segments of the cloud growing even more rapidly. This $556 million dollar number represents an increase of 32.2% from 2013’s number. Gartner’s report went into depth noting that BPaaS (Business Process as a Service) would represent $75 million of the pie while Software as a Service would represent $78 million.
Ed Anderson, VP of Research at Gartner says that “Growth of cloud services in India reflects the demand for new sourcing models.” Mr. Anderson went on to mention, “We expect high growth rates across all cloud services market segments in India.”
While the short term growth is significant, the long term prospects of India’s cloud make it look as if the market is poised for an explosion in both investment and innovation. Gartner forecasts that in 2018, the public cloud in India will be worth a staggering $1.7 billion dollars. By 2018, BPaaS will be a $204 million market while SaaS is expected to represent $636 million of this $1.7 billion number. IaaS will also continue to grow rapidly. In 2013, Gartner says that IaaS in India represented only $58 million of total cloud revenues in 2013. In 2018, the IaaS figure is expected to grow to be $317 million.
India is known as being a hub of innovation. The cloud market has largely been untested in this part of the world as server virtualization is still taking hold. As cloud services continue to expand and mature, look for more people in India to get on the cloud bandwagon. With so many public cloud providers such Amazon, IBM and Microsoft expanding their outreach into parts of the world such as the Asia-Pacific rim, look for new cloud innovations to boom in the years to come.