Multi-cloud: The next phase of cloud adoption in India

Cloud adoption accelerated in India during the pandemic, especially as enterprises adopted new technologies to address their needs. Multi-cloud adoption has emerged as a valuable cloud strategy that is enabling enterprises to become more agile so that they can scale up and down as needed and avoid vendor lock-in. Today, 22% of enterprises in India are using a multi-cloud environment, and that figure is expected to jump to 50% in the next two years. The key to adopting multi-cloud successfully is devising a strategy that factors in ROI and the total cost of ownership (TCO).

The Multi-Cloud Opportunity

India is poised for significant growth as workforce talent and costs, sales maturity and advanced technologies create an attractive environment for companies to develop into globally-competitive enterprises. NASSCOM notes that domestic demand for cloud is increasing as companies of all sizes digitalize and opportunities improve for small and medium enterprises. India’s public cloud services market, including IaaS, PaaS and SaaS, is predicted to grow at a CAGR of 22% between 2020 and 2024. Investments in SaaS startups are also enabling the country to grow into a global supplier of cloud services.

As companies progress on the digital transformation journey, the cloud is acting as the backbone for the adoption of all new technologies and will continue to be a vital part of modernization strategies. Enterprises that are adopting a multi-cloud strategy are seeking constant availability and low latency, scalability, better data quality, and improvements in ROI. However, enterprises need to be aware of app sprawl, compliance requirements and differences in vendor portals to ensure that multi-cloud adoption is effective, seamless and secure.

Effective Cloud Management

The migration of applications and systems to the cloud is a complex process that must be planned and managed closely. Taking advantage of the scalability of the public cloud, adopting edge computing capabilities, and deploying mission-critical applications in a private cloud, require a strategy to allow data to be exchanged between systems and cloud environments. It is estimated that by 2022, 30% of Indian enterprises will deploy various tools and solutions to manage their multi-cloud use.

Managed cloud service providers can advise companies on their cloud strategy as well as design and build the best solution for your IT environment. This ensures that enterprises get the most out of applications and systems in the cloud. With managed cloud service providers, customers gain multi-cloud connectivity in a secure, dedicated hosting environment to unite their entire hybrid environment across data center locations and multiple cloud providers.

Managed cloud service providers also bring economies of scale from relationships with hyperscale providers and deliver vendor-aligned architecture reviews. Few IT departments have these capabilities in-house and buying these consultancy services piecemeal is not cost-effective.

India has significant growth opportunities from domestic and international demand. As high-speed connectivity becomes more widely available, enterprises increase the capability to leverage more of its data for analytics and decision making. The way that business leaders authenticate, manage and govern their multi-cloud environment will determine how successful it can be in helping the enterprise grow and compete globally. The right management, as companies adopt multi-cloud can help to accelerate innovation faster while minimizing risks.

By Sandeep Bhargava, Managing Director, Asia Pacific Japan, Rackspace Technologies

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