Private cloud to offer 50 percent saving to Indian enterprises


is an increased preference of cloud adoption over the next five years in India.
The total cloud market in India, currently at $400 million will reach a market
value of $4.5 billion by 2015, according to a survey by EMC Corporation and
Zinnov Management Consulting.

Private cloud adoption will dominate and account for $3.5 billion in revenues,
growing at over 60 percent.


The study also brings
to attention that while private cloud market will create 1 lakh jobs by 2015
from 10,000 today an opportunity for students and the workforce companies today
are under-skilled in addressing cloud computing implementations in India.


It recommends
companies to invest in competency building internally to take advantage of
cloud computing technologies. The study estimates that the skilling and
re-skilling market in India will grow fast as cloud computing becomes critical
to IT strategies.


Leading public and
private educational institutions, along with IT enterprises are expected to
play a key role in enhancing workforce skills to match the industry demand for
cloud computing.


According to the
study, the cloud computing market growth is attributed to the increased
maturity of Indian enterprises towards cloud computing and the CEO/ CIO mandate
for an enterprise-wide cloud strategy.


It adds that with the
overall environment of cloud adoption fast evolving in India, cloud computing
will account for a significant share in the total IT spend of the small, medium
and large enterprises. The total cloud spend as a percentage of the total IT
spend as such is expected to rise from 1.4 percent in 2010 to 8.2 percent in


It notes that
IT/ITeS, Telecom, BFSI, Manufacturing and Government sectors will contribute
largest to the cloud market in India, with nearly 78 percent of the total

According to the study, there is an increased
preference of private cloud over public cloud over the next five years in


It also estimates
that private cloud deployments could result in potential savings of up to 50
percent on the IT investments on average, when compared with a legacy IT model,
with cost optimization in areas such as telecom and networking, facilities and
fabric, hardware, software, internal labour and external IT services.


Cloud computing will
reshape the Indian IT market by generating new opportunities for IT vendors and
driving changes in traditional IT offerings. There is a high chance that
companies that are not adopting IT today and don’t have major investments in
datacenters and server farms will directly move into the cloud model,” said
Pari Natarajan, CEO,  Zinnov Management Consulting.


There are ample
opportunities in every industry. Be it retail, manufacturing, banking,
education or government. Customers for IT-ITeS companies are also fast
evaluating cloud offerings and are looking for partner competencies. It’s in
turn forcing IT-ITeS companies to invest in talent pool creation, test labs
with cloud infrastructure and consider best-of-breed converged infrastructure.
This is a big opportunity for cloud vendors especially those who are strong
with consulting services for private cloud deployments, and offer a robust
customer service,” Natarajan added.


first-of-its-kind report has brought to attention a very important but
unnoticed aspect of the cloud computing market in India for cloud computing to
deliver its promise, customers need human resources with cloud computing
competencies, both as vendors or as internal resources,” said Manoj Chugh,
EMC India and SAARC.


Today, the Indian
market has technology vendors offering the best technologies and facilities for
customers such as the EMC-Cisco Cloud Experience Center in Bangalore to make
informed decisions. What we need more of is a focus on building competencies to
leverage cloud computing technologies. EMC recognises this and has introduced
Cloud Architect certification that focuses on architecting and designing
infrastructure for virtualized and cloud environments,” Manoj added.



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