Cloud Computing readiness in India is finally catching up and has a long way to go. Global Cloud Computing Scorecard, by BSA, India ranked 17 out of 24 countries assessed on cloud readiness.
Forbes reports, Investment and spending on cloud computing in India is poised to rebound this year after a confluence of factors that stalled growth in 2013. Yet a flagging currency, political uncertainty and lack of strong support from India’s largest technology companies have hampered cloud adoption.
IBM has recently announced its investment plans of over $1.2 billion to expand its global cloud computing service presence in countries like India.
Indian Cloud Computing Market Size & Growth
Major research companies such as, IDC and Gartner predicts the continuous growth for Indian Cloud Computing industry. IDC estimates the Indian cloud computing market to grow $3 billion by 2015. Gartner expects, almost two-thirds of Indian CIOs will run and manage their business via cloud computing in coming two years.
The cloud computing market in India is expected to see ten-fold increase by 2015, from today’s estimated market size. Software as a Service (SaaS) will be a high demand in India, in comparison to the other cloud computing deployment models (Infrastructure as a Service (IaaS) and Platform as a Service (PaaS)).
The Public Cloud market in India will demonstrate robust growth and is expected to reach 685 million by 2014, predicts Zinnov Research. Indian Software-as-a-Service (SaaS) Cloud market in India has grown upto 84 percent in the last 2 years and will reach 410 million by 2014 from the current IaaS market size of 150 million. SaaS cloud market in India, dominated by email, CRM and ERP has grown at a CAGR of 46 percent (from 55-70 million) in just two years (2009-2011). The PaaS market in India has grown at a CAGR of 75 percent and the IaaS market in India has grown at a CAGR of 84 percent.
According to other industry forecasts, the Cloud Computing India market size is expected to grow up to $4.5 billion by 2015 at a CAGR of 40 percent by 2014. Cloud computing will push the Indian ICT market (software, services and hardware) and businesses in India would generously spend on various IT and Cloud. IDC projects, the overall IT spending India will reach to $44.8 billion in 2014. This growth is on the sidelines of the worldwide IT spending projected to $3.8 trillion in 2014. The estimated worldwide IT spending is said to exhibit an increase of 3.1 percent from 2013 figures ($3.7 trillion).
BSA Cloud Computing Scorecard for India
Cloud Computing Scorecard of India 53.1
Following seven criteria were evaluated:
Data Privacy 4.1
Intellectual Property Rights 12.0
Industry Standards 10.0
Promoting Free Trade 6.4
ICT Readiness, Broadband Deployment 8.8
India moved up in the annual Cloud Computing rankings based on various improvements in intellectual property, network proliferation, cloud infrastructure, privacy and security. In 2012, India updated its copyright laws to cover various modern copyright issues. However, the law and cloud infrastructure in India has not entirely kept pace with international developments in cloud computing. The current security standards in India still exhibits some gaps, prominently in areas of data protection law.
The current state of privacy law in Indian is not compatible with the Privacy Principles in the EU Data Protection Directive and Privacy Principles in the APEC Privacy Framework. Study underlines the lack of an effective privacy and cybercrime legislation according to international models and standards. India is not a signatory to the Convention on Cybercrime. However, India has it’s own Information Technology Act that closely embodies the prohibitions contained in the Cybercime Convention.
Indian being a member of TRIPS, has not yet updated its copyright laws to fully comply with the TRIPS Agreement (amendments have been proposed). India has also not signed the WIPO Copyright Treaty.