Small and medium business (SMB) spending in India on Software-as-a-Service (SaaS), a key component of cloud computing, is anticipated to rise by a sizable 43 percent in 2011, according to a study. More than 10 percent of Internet-owning India SMBs have shown interest in adopting cloud computing in the next year. Medium businesses (organizations with 100-999 full-time employees) have displayed significantly higher interest than their smaller counterparts.
Other enablers of cloud adoption have also reached significant usage levels within India Internet SMBs.
The study also notes that infrastructure is gradually falling into place to support greater cloud growth within India SMBs. The availability of affordable and quality broadband services (thanks to the efforts of key ISPs) is a major driver not only for cloud computing but all Internet-based technology adoption. The development of virtualization is another key booster. Moreover, implementation of cloud-based solutions reduces the organization's need and dependability on skilled IT personnel.
Comment from Kalyan Banga, Senior Research Analyst at AMI-India: Mobility, telecommuting, notebooks, smart phones -- all are playing an important role in cloud adoption. Hence, it is becoming increasingly evident that the entire ecosystem and the players within it are steadily gearing up for cloud adoption.Among India Internet SMBs, almost half have a mobile workforce and over one fifth provide telecommuting options to their employees. The need for anytime, anywhere data access is a key driver of cloud computing in India. There are other factors at play as well that are triggering interest in cloud computing in India. In the aftermath of the economic downturn, cost-conscious India SMBs are tightening their purse strings. Cloud computing is appealing as it requires less of a financial burden through zero CAPEX and minimal OPEX. The development of an appropriate ecosystem is another crucial factor that is boosting Cloud Computing deployment. This is true since major ecosystem players such as Telco/ISPs, ISVs, SIs, aggregators, web developers, content providers, etc., have been developing their capabilities and technical infrastructure to be able to provide better and robust cloud computing services to end-users. Other than creating awareness, the partner community has a vital role in acting as the connecting link between cloud vendors and end-users. The success of cloud computing will depend on the last mile connectivity. Since India SMBs are geographically dispersed, heterogeneous in nature and challenging to tap, the role of the Channel Partner is particularly vital in the India SMB space. Choosing the right cloud partner is a critical component for ensuring a successful and long-term partnership. It is necessary to ensure that the cloud provider is ready to support the India SMB and share in both its challenges and achievements.
About the study: AMI's 2010-2011 Worldwide SMB Cloud Service studies examine the SMB Cloud opportunity in 30+ countries, including SMB preference for Cloud-based application bundle, price sensitivity and purchase channel preferences.The recently completed AMI study, "2010-2011 India SMB State of the Cloud Market Overview," was conducted across major as well as Tier II cities. These studies also provide comprehensive coverage of SMB adoption of Cloud-based applications, managed services, and supporting infrastructure, including platforms and devices. These studies will provide a roadmap for successful Cloud go-to-market strategies and tactics.
Contact: http://www.ami-partners.com
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