A recent report released by EY India has revealed that a significant majority, approximately 90 per cent, of Indian businesses consider cloud transformation as essential for facilitating the adoption of artificial intelligence (AI). The findings, made public on December 11, indicate a robust commitment from Indian companies to innovate and enhance operational efficiencies through cloud technologies.
Currently, around 67 per cent of Indian firms are actively in the process of transitioning their applications to cloud platforms. The trend highlights the strategic approach many companies are taking by employing a hybrid model, with 80 per cent managing their enterprise applications both on cloud and on-premises. This dual strategy is designed to provide flexibility while allowing for a gradual progression towards complete cloud migration.
Abhinav Johri, Technology Consulting Partner at EY India, commented on the transformative nature of this technological shift. He stated, "The rapid adoption of cloud technology in India is more than just a technological upgrade. It is a transformational shift that empowers businesses to reimagine their operating model, products or services." The integration of cloud technology is enabling companies to leverage AI capabilities, resulting in more agile responses to changing client needs and market dynamics.
The report also highlights the role of AI and machine learning (ML) in driving innovation among Indian businesses. Approximately 37 per cent of participants identified these technologies as pivotal in fostering product and service innovations post-cloud migration. Furthermore, there is a notable advantage in developing applications natively in the cloud, with 37 per cent of firms emphasising improved innovation stemming from this approach compared to the traditional method of migrating on-premises applications. Additional benefits include enhanced monitoring of carbon emissions, reported by 29 per cent of companies.
Despite these advancements, challenges persist. A disparity has been observed in the perception of skills and capability gaps as a barrier to developing cloud-native applications, with 25 per cent of domestic firms citing this issue, in contrast to 38 per cent globally. Companies also identified cybersecurity threats and budget limitations as significant obstacles hindering their cloud adoption journeys.
In conclusion, the findings underline a possible new era of progress for India's business landscape, as Johri suggested, “This marks a new wave of progress, which may potentially position India as a global leader.” The ongoing focus on cloud technology, coupled with the incorporation of AI and ML, reflects a pivotal shift in business practices, paving the way for increased efficiency and innovation in the country.
Source: Noah Wire Services