Nishchal Khorana, Head – Consulting, ICT Practice, Frost & Sullivan talks about how cloud-based technologies are enabling enterprises to effectively address business needs for technology-led innovations, new business model development and greater customer satisfaction while ensuring lower capital and operational expenditures required for IT deployments
While Cloud is not a technology in itself (it is a deployment model that has been disruptive in the true sense), the term continues to be loosely classified under emerging technologies of SMAC (Social Media, Mobility, Analytics, and Cloud Computing).
Today, undoubtedly, Cloud Computing is playing a major role in the increasing penetration of technology adoption as well as driving rapid adoption of emerging technologies across industries. Cloud Computing has covered significant ground in the last three to four years from a being a concept that CIOs demanded a clearer understanding of to a mature and increasingly preferred deployment model.
Vendors have worked closely in the demystification journey and continue to help overcome concerns around security, network, SLAs, and privacy. The global economic environment has played a significant part in the accelerated adoption of Software-as-a-Service (SaaS), Platform as a Service (PaaS), and Infrastructure as a Service (IaaS).
Indian enterprises have been exploring ways and means to achieve profitable growth amidst high economic volatility and changing dynamics. Cloud-based technologies have emerged as the optimal solution to address business needs for technology-led innovation, new business model development, greater customer satisfaction, and operational excellence, while ensuring lower capital and operational expenditures required for IT deployments.
The definition and composition of Cloud varies significantly among enterprises. Clearly,
hybrid models are the accepted way forward for larger enterprises, while SaaS offerings are driving IT penetration at the bottom of the pyramid. Cloud Computing has resulted in significant transformation of the provider ecosystem. Hundreds of Indian entrepreneurs are developing software products catering to domain-specific business needs.
The emerging Independent software vendors (ISVs) are now able to cater to a scalable business model and are leveraging their extensive domain knowledge to reach out to large, medium, and small businesses.
At the same time, service providers are expanding their consulting capabilities to offer end-to-end Cloud services. The last year (2013) witnessed several System Integrators (SIs) setting up Centers of Excellence dedicated to development of Cloud solutions in partnership with global software vendors.
SIs, telecom service providers, and third party datacenter providers are investing extensively in building Cloud centers. Monetizing Cloud-led opportunities demands provision of greater flexibility, transparency, and control to customers over the data.
Alliances and partnerships among software vendors, hosting service providers, and system integrators will be critical to develop a successful provider business model.