The Future of Cloud Computing in India’s Economy
Technology has almost become our ‘lifeline’ now. Several developing technologies are here to provide us better prospects including artificial intelligence (AI). And for businesses, technologies are now powered by cloud computing. Cloud services are leading to alter the way organizations function by providing digital data storage and computer resources.
One of the key reasons for its increasing popularity in organizations is the ability to acquire IT resources on demand, removing the need for large initial capital expenditures. In addition, cloud computing has various other advantages, such as scalability, quick provisioning, better security, and little administrative work.
Economical Impact in India
With the researchers making the claim, the Indian public cloud services industry was estimated to be worth $7.51 billion in 2023. This sector is expected to develop prominently, contributing between $310 billion and $380 billion to India’s economy by 2026, accounting for nearly 8% of total GDP. In addition to supporting the economy, the enhancement of cloud services is hoped to produce over 14 million new employment opportunities.
The dominance of Hyperscalers
We know that the major support for the cloud computing business comes from hyperscalers, or big cloud service providers (CSPs) like Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform. These behemoths offer enterprise-level computing and storage services to the businesses to allow a seamless utilization of huge IT capabilities without incurring any major infrastructure costs. It won’t be an exaggeration to say that cloud computing’s fast growth is inextricably linked to hyperscalers’ rising market shares of which benefits could be drawn.
Rivalry Issues
Hyperscalers’ dominance creates competition issues. And this becomes even more strong when these businesses have a strong presence in linked areas such as on-premises software, search engines, and e-commerce. Some legacy software suppliers, who now supply cloud infrastructure services rely on innovative business strategies aimed at excluding competitors and increasing market dominance. These methods are under the attention of competition authorities.
Establishing a Competitive Cloud Service Market
It is not us but the market analyst saying that promoting a multi-cloud strategy is critical to enabling a vibrant and competitive cloud service industry. This technique ensures that services are blended from different suppliers based on cost, speed, scalability, and security requirements.
In the face of this, the Indian CSPs have an edge in the market and beat hyperscalers by providing cost-effective and personalized services. However, hyperscalers’ commercial activities generate both technological and financial barriers to switching and multi-cloud adoption.
Obstacles in tech inclusion
It is basically called limited interoperability, or the ability of services hosted by various CSPs to easily integrate. It is a huge technological hurdle in cloud computing. Proprietary application programming interfaces (APIs) can prevent data and application mobility which could lead to vendor lock-in. As a result, businesses typically utilize many CSPs in silos, each providing a particular function.
Self-preferencing licensing limits are another major technological impediment that should be addressed. Cloud vendors who dominate the legacy software industry many times limit the interoperability of their core software with third-party cloud infrastructure or raise the cost of third-party deployment through high licensing fees.
