India Inc to take ‘private’ route to cloud: Study

By : |July 18, 2011 0

BANGALORE, INDIA: The overall environment of cloud adoption is fast evolving in India and four years down the line, in 2015, India’s cloud computing market will grow more than 10 times and touch $4.5 billion, primarily driven by private cloud, finds a new EMC-Zinnov study. The total cloud market in India is currently at $400 million.

The study, ‘Private Cloud Landscape in India’, conducted by EMC Corporation and Zinnov Management Consulting, also finds that private cloud adoption will dominate and account for $3.5 billion in revenues, growing at over 60 per cent during the same period.

Also Read: How to create your own private cloud?

Manoj Chugh, president, EMC India & SAARC, while talking to CIOL on the sidelines of the press conference, asserted that private cloud adoption in India is going to be ‘very very aggressive’ as compared to public cloud.

More so, because public cloud adoption is hindered by issues related to data security and latency, possibility of data centres being located in areas threatened by natural disasters, corporate governance and auditing, and vendor lock. Whereas, private clouds are more preferable as they are more reliable, and the network uptime and security are under the company’s (user’s) control.

Manoj also added that once private cloud adoption is in place, companies will start looking towards hybrid model of computing.

"Once people have deployed the private cloud, the next step for them is to deploy hybrid cloud, because when you design a private cloud, you design it for average and not peak. So, soon we will also see public cloud service providers emerge and grow in India. In future hybrid cloud will become more mainstream and deployed more."

"However," he added, "at this point in time, organizations want to make sure that they are able to drive efficiency and reduce cost within their existing data centre and find a way with which they can manage huge growth in data, more efficiently. Thus, private cloud will be the area of focus now."

Said Pari Natarajan, CEO,  Zinnov Management Consulting: “There is a high chance that companies that are not adopting IT today and don’t have major investments in data centres and server farms, will directly move into the cloud model. There are ample opportunities in every industry. 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.”

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EMC and Cisco have set up twin cloud experience centres, one each on the two companies’ premises, “where customers who would like to mimic what a public cloud will look like, can demonstrate it from a technology perspective”.

The study also finds that private cloud will create 1 lakh jobs by 2015 from 10,000 today. Then, for cloud computing to deliver its promise, customers need human resources with cloud computing competencies, both as vendors or as internal resources.

EMC has introduced a new Cloud Architect certification programme that focuses on architecting and designing infrastructure for virtualized and cloud environments.

"At this point of time we are offering our cloud architect programme through EMC’s Education Services team. Our first goal is to make sure that our customers and partners are trained and enabled. Over a period of time we will take it to the academia as well.”

Other highlights of the report:
Private cloud deployments can result in potential savings of up to 50 per cent 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.

It also said cloud spend of IT will grow from 1.4 per cent in 2010 to 8.2 per cent by 2015. As per the study, IT/ITES, telecom, BFSI, manufacturing and government would lead in spend, with nearly 78 per cent of the total market.

Underscoring the need for re-skilling to create new opportunities for IT training vendors, the study said companies today are under-skilled in addressing cloud computing implementations in India. It also recommended companies to invest in competency building internally to take advantage of cloud computing technologies.

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