The India arm of Amazon Web Services reported a 54% rise in revenue to Rs 4,216 cr in FY 20 but registered a net loss of Rs 20 lakh during the period. The company, in the business of data processing, hosting and related activities, had total expenses of Rs 4,178 cr. The cloud service provider’s revenue from continuing operations jumped to Rs 4,161.6 cr from Rs 2,637.2 cr, primarily on account of cloud adoption and related services by new and old clients in India.
Leading cloud software firm Salesforce has extended its WFH policy until at least July 31, 2021. The company is also offering $250 for office tools and equipment, in addition to the $250 provided earlier this year. Family care leaves are also expanded, making parents eligible for six weeks of paid time off. While Facebook and Google have allowed employees WFH until July 2021, Amazon and Apple are expecting employee-return by January.
Cloud data protection firm Druva’s recurring revenue has gone up by 70% YoY. Revenue from data centre workload protection solution and overall data under management grew 50% in the same period. Druva expects the growth to continue following the rise in demand for cloud-based solutions. One of the four Druva’s over 1000 cloud customers is now buying multiple workload protection across cloud platform and have performed over 1.5 bn back-ups.
After unveiling a data centre in Mumbai last year, Oracle has launched its second data centre in Hyderabad. This centre will meet the increased demand for secure cloud services from existing and new clients, said its regional manager in a statement. He further added these two centres will provide business continuity and disaster recovery options to more than 15,000 clients.
51% of financial firms plan to invest in hybrid cloud deployment, whereas 18% have already done so, according to Nutanix’s Second Enterprise Cloud Index Report. Flexibility and security are the two biggest concerns while deploying cloud and 27% of respondents believe the hybrid cloud to ensure both. Lack of hybrid cloud skills and cloud-native development skills has resulted in slow adoption so far. Discontent from the public cloud is another reason for the switch.
The nationwide lockdown resulted in the extensive use of cloud storage applications as organisations switched to remote working. IBM is likely to see the growth of cloud storage and application services business usage in this FY. IBM’s new customers in retail, telecom and other sectors are increasingly investing in cloud services to facilitate and secure remote work. Phishing attacks led to gaps in BCPs.
While COVID-19 pandemic has increased the demand for cloud computing 20X, lesser use of technologies like AI, ML, blockchain in universities and service-oriented firms resulted in the lack of skilled cloud engineers. Firms, by 2023, are likely to spend 10% of the IT budget on cloud infra. Despite hiring 72k AI professionals in 2019, the companies had 2.5K vacancies with 3000 others expecting 200% growth in AI. Also, 55% of firms planned to reskill their staff.
Global IT spending is likely to shrink 8% in 2020 at an estimated $3.4 trillion, said Gartner. The economic slowdown due to the lockdown has made CIOs defer spending on digital transformation to prioritise on critical tech. Spending on devices, data centre systems, IT services, and enterprise software will drop up to 15.5%, 9.7%, 7.7% and 6.9% respectively. Cloud will see a 19% increase in spending and levels for the year 2023 and 2024 will now be realised by 2022.
During the last two years 64% of organisations in India and Europe invested in cloud tech, 51% in IoT, said EY’s Tech Horizon report. These organisations (43%) believe that AI will get similar investment as a cloud in the next two years. The study said that during the next two years 82% of organisations will make significant progress in digitalisation and 21 % will be at the most advanced stage of transformation. 500 corporations and 70 startups were surveyed for the report.