“Amplified demand from domestic clients has driven the growth of the data center market in India.”
Surge in Demand from Domestic Clients: India is witnessing a surge in the demand from domestic companies owing to the government’s data localization law which mandates the companies to store their data locally within the country. The RBI rolled out this regulation to control the data theft and data breach in the country. The regulation is an initiative to protect the countries data by storing it within the country and building confidence among the end-users. Post the Implementation of this law the end-users have become more cautious of their data storage and are now looking for local data centers in the country to choose them as their data center service provider. The demand for the data center services is witnessed to increase from the domestic companies who now are willing to store their data within the country to follow the guideline of the data localization law.
“Cloud First” to “Cloud Only” Model in India: The cloud industry in India is at a nascent stage and has a huge potential in this sector which is attracting the global cloud players to invest and enter the Indian market. The shift from ‘cloud-first’ to a ‘cloud-only’ model in India is pushing organizations to increase their spending on public cloud services to advance their digital business initiatives. The low cost of operations in Cloud services is attracting the local companies in India leading to increased demand for data center space by cloud service providers. The could industry in India is anticipated to grow owing to the surge in end-user spending on the Customer Relationship Management (CRM) as organizations in India are moving away from commercial off-the-shelf (COTS) and license-based on-premises software to a subscription-based SaaS model to gain agility, innovation, and cost-efficiency.
Burgeoning SME industry in India: SME industry is anticipated to be one of the most potential end-users for the data center and the cloud industry. India was witnessed to have approximately 43 million organized and unorganized SME’s as of December 2019. Low-cost budgets of these SMEs are dragging their attention towards the data center and cloud service to protect and store their data. SME’s are one of the major end-user of SaaS cloud service in India.
Analysts at Ken Research in their latest publication “India Data Center and Cloud Services Market Outlook to 2025- Favorable Government Support and Data Localization Leading to Surge in Data Center Adoption” believe that the data center industry in India has been growing and is expected that it will expand further owing to the rising number of data centers, the surge in demand for local data centers, attractive investments from hyper-scale cloud providers, additional services provided by the companies such as cloud services, data recovery, security services, cross-connect, and others. The market is expected to register a positive CAGR of 9.7% in terms of revenue during the forecast period 2019-2025F.
Key Segments Covered of Data Center: -
By Type of Data Centers:
Co-location Data Center
Retail Co-location
Wholesale Co-location
Managed Data Center
By Region:
Mumbai
Bangalore
NCR
Chennai
Hyderabad
Others (Kolkata, Pune, Jaipur, Indore, Ahmadabad, Cochin, Coimbatore and rest)
By Tier Level:
Tier I & II
Tier III
Tier IV
By End Users:
IT/ITes
BFSI
Government
Others (Education, Retail, Manufacturing, Logistics and rest)
By Clients:
Domestic Clients
Global Clients
Key Segments Covered of Cloud Market
By Cloud Services:
SaaS
IaaS
PaaS
BPaaS
Cloud Managed & Security Service
By End Users:
IT/ITes
Manufacturing
Government
Communication & Media
Telecom
E-commerce
Retail
BFSI
Transport & Logistics
Others (Oil & Gas, Automobile, Aviation, Agriculture and rest)
By Clients:
Domestic Clients
Global Clients
By SaaS:
By Large Enterprise
SME
By IaaS:
By Large Enterprise
SME
By PaaS:
By Large Enterprise
SME
Key Target Audience: -
Data Center companies
Cloud providers (Domestic and Global)
Managed data center companies
Co-location data center companies
Private Equity and Venture Capitalist
Industry Associations
Data Center Constructors
Technology providers
Time Period Captured in the Report:
Historical Period – FY’2014-FY’2020P
Forecast Period – FY’2020-FY’2025
Companies Covered:
Data Center Companies:
CtrlS
Sify Technologies
Web Werks
Nxtra
STT
NTT Communication- Netmagic
NxtGen
Cloud Providers:
Amazon Web Servies
Microsoft Azure
Alibaba Cloud
Google Cloud
Key Topics Covered in the Report: -
Data Centre Global Clients in India
Data Center companies in India
Cloud Services providers in India
Data Centre Technology providers in India
No of data centers in India
Retail and Wholesale Colocation Data Center
SaaS Cloud Industry in India
cloud service players in India
India Cloud Computing Services Market
AI in Data Center India
India Co-Location Data Center Industry
India Managed Data Center Market
Data Center Domestic Clients in India
For More Information on the research report, refer to below link: -
India Data Center and Cloud Services Industry Growth
Related Reports by Ken Research: -
Contact Us: -
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249