Picture Credit: California State UniversityAccording to India based research firm Zinnov, the Indian cloud computing market is going to experience a ten fold growth by 2015. According to the firm, the current cloud computing market is $110 Million today with, approximately, 66 Million in the SaaS market dominated by applications such as collaboration apps, CRM and ERP. The remaining $ 44 Million is shared by the PaaS and IaaS. 
According to the Zinnov report, by 2015, the cloud computing market in India will reach 1 Billion with SaaS capturing 650 Million dollars while PaaS and IaaS cumulatively get around 440 Million dollars. This data sort of mirrors our understanding about the Indian market (I am a partner in a consulting company based in India and I brainstorm with them on the Indian market scenarios). We do see a more widespread adoption of applications than platform or infrastructure. Along with the traditional enterprise apps like CRM and ERP apps, we are seeing Google Apps gaining strong traction.
According to Zinnov, the main areas where cloud computing will be used extensively are
  • Banking and Financial sectors
  • Telecom
  • Manufacturing
  • Government
Unlike US Government, Indian Government is not openly embracing the cloud bandwagon. In fact, their approach to IT is more restrictive and it is going to take lot of efforts by the cloud vendors to get them on board. 
Also, so far we haven’t seen many successful cloud vendors from India. Infrastructure was always a weak point in the Indian market. However, on the SaaS side, we have Zoho (disclaimer: Zoho is the sponsor of Cloud Ave) operating from Chennai and there are a few smaller SaaS vendors with operations in India. Recently, I came across a PaaS provider called Orangescape and they offer what can be termed as the equivalent of Visual Basic for the cloud. The next few years are going to be interesting in the market and I am keen to see more cloud based vendors coming out of India. However, I also want to warn that there will be too much cloud washing going on by the Indian Outsources and we have already seen some of it in the last year itself.
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Krishnan Subramanian

Krish dons several avatars including entrepreneur in exile, analyst cum researcher, technology evangelist, blogger, ex-physicist, social/political commentator, etc.. My main focus is research and analysis on various high impact topics in the fields of Open Source, Cloud Computing and the interface between them. I also evangelize Open Source and Cloud Computing in various media outlets, blogs and other public forums. I offer strategic advise to both Cloud Computing and Open Source providers and, also, help other companies take advantage of Open Source and Cloud Computing. In my opinion, Open Source commoditized software and Cloud Computing commoditized computing resources. A combination of these two developments offers a strong competitive advantage to companies of all sizes and shapes. Due to various factors, including fear, the adoption of both Open Source and Cloud Computing are relatively slow in the business sector. So, I take it upon myself to clear any confusion in this regard and educate, enrich and advise users/customers to take advantage of the benefits offered by these technologies. I am also a managing partner in two consulting companies based in India. I blog about Open Source topics at http://open.krishworld.com and Cloud Computing related topics at http://www.cloudave.com.

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