In this era of rapid technological advancements, it is important for the businesses to stay abreast of competition by deploying latest hi-tech solutions. In this context, the cloud technology offers unparalleledportability and convenience to the end-user. It provides a complete root-access control to the user to access their software and digital files by just having an internet connection. The cloud hosting providers allow businesses to store their important business files on a secured network with remote storage facilities.

Indian companies are leveraging the cloud technology owing to its affordability and ease of use. The other reasons for its growing popularity in the country include pay per use model, on-request services, and minimum overhead costs.

Factors Driving Cloud Technology in Indian Market

India is a leader in providing information technology solutions worldwide. The technology has been embraced by most of the sectors including healthcare, finance and banking, hospitality, education, IT, and public sectors. It enables users to virtually access their information in no time.

A research by IDC illustrates that the global expenditure on cloudservices is expected to swell by 25% in the financial year 2014. The estimated spending by the end of the year will be nearly $100 billion. Of this, the cloud adoption rate in the Indian market alone accounts for 67%. Thus, more and more Indian CIOs are adopting cloud for various strategic reasons like disaster recovery, collaborative solutions, and manage theirsupply chain networks.

Also, a study by NASSCOM reveals that cloud computing is anticipated to significantly affect the service sector pertaining to its business models, services offered, and delivery mechanisms. The cloud market is anticipated to reach $16 billion by 2020. Of this, 67% of the growth will be coming from the new businesses only, while the rest will be due to existing services. Moreover, theprivate cloudin India is expected to save about 50% of their infrastructural costs and create over one lakh jobs by the year 2015.

The major factors catalyzing cloud momentum in the country are:

Security: Cloud solution promises data privacy and security. The service providers offering cloud hosting serviceshelp a client in streamlining their security certification process and help them quickly access the privacy, security, transparency, and regulatory compliance of cloud solutions.

Rapid Scalability and Elasticity: The technology enables users to match their demand by scaling-up or down their storage size. This help business to effectively manage traffic spikes throughout the day.

Government Policy: Another factor that has fostered the adoption of cloud technology is the flexible government policies promoting the technology’s adoption. Hence, the innate features of cloud computing, including utility based billing and on-demand provisioning are the expected to fuel the further expansion of Indian businesses.