India Cloud Computing Market Size
| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 21.37 Billion |
| Market Size (2030) | USD 52.22 Billion |
| CAGR (2025 - 2030) | 19.57% |
| Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
India Cloud Computing Market Analysis
The India Cloud Computing Market size is estimated at USD 21.37 billion in 2025, and is expected to reach USD 52.22 billion by 2030, at a CAGR of 19.57% during the forecast period (2025-2030).
As India shifts from an emerging market to a developed economy, advanced technology is poised to play a pivotal role. Given the vastness of India's digital populace and the swift ascent of its digital economy, there is an urgent need for an expanded network of data centers. In this landscape, cloud computing in India has shifted from merely facilitating operations to actively driving innovation, flexibility, and business growth.
- Industries, including IT, BFSI, healthcare, and retail, are increasingly adopting cloud solutions to lead digital transformation, boost operational efficiency, and enhance customer experiences.
- The Indian government's push toward a Digital India initiative is accelerating the embrace of cloud computing. Programs such as the National e-Governance Plan (NeGP) and the Government Community Cloud (GCC) amplify the demand for cloud services. The proliferation of startups and small and medium enterprises (SMEs) in India is fueling the demand for cloud services as these companies seek cost-effective, scalable, and flexible IT solutions.
- Cloud computing is a critical enabler for emerging technologies like AI, IoT, and big data analytics. As Indian firms increasingly adopt these technologies, the demand for cloud infrastructure intensifies.
- In June 2024, Bharti Airtel, a telecom service provider, partnered with Google Cloud in a long-term collaboration to provide state-of-the-art cloud solutions to businesses throughout India. This strategic alliance aims to hasten the adoption and modernization of cloud services for Airtel's clientele. As a result of this partnership, Airtel will deliver a range of advanced cloud offerings from Google Cloud to its diverse customer base, which includes more than 2,000 large enterprises and a million burgeoning businesses.
- Further, in January 2024, Digital Realty, a worldwide leader in cloud- and carrier-neutral data center, colocation, and interconnection solutions, inaugurated its inaugural data center in India. Situated on a sprawling 10-acre campus in Chennai's industrial and manufacturing hub, the facility boasts a robust capacity, supporting up to 100 megawatts of critical IT load. This launch marks a pivotal expansion for Digital Realty, reinforcing its commitment to addressing the global surge in digital transformation demands.
- Despite the rapid adoption of cloud computing, data privacy and security remain significant challenges. Companies are cautious about migrating sensitive data to the cloud due to concerns over data breaches and compliance with local regulations.
India Cloud Computing Market Trends
Strong Government Support and Initiatives Are Promoting Cloud Adoption
- Digital India, India's flagship program led by the government, seeks to mold the nation into a digitally empowered society and a knowledge-driven economy. Central to this initiative is a pronounced focus on cloud computing aimed at enhancing the efficiency of government services. By driving cloud-based solutions for e-governance, the initiative ensures that public services are readily accessible to citizens online. Consequently, this push has spurred a heightened demand for cloud infrastructure and services, cultivating a vibrant cloud market in the country.
- Tech giants are tapping into the vast potential of India's digital landscape. Google, through its Google for India Digitization Fund, is set to invest USD 10 billion by 2025, aiming to digitize the operations of MSMEs. Meanwhile, in June 2024, Microsoft, under its AI Odyssey initiative, planned to train 100,000 Indian developers in cutting-edge AI technologies and tools. Additionally, the company is channeling INR 16,000 crore (approximately USD 193 million) to establish three new data centers in Telangana.
- Under the Digital India program, the Government Community Cloud (GCC) stands out as a pivotal initiative, catering specifically to government departments and public sector enterprises. Designed with a focus on data sovereignty, security, and privacy, the GCC addresses critical concerns about data storage and processing within India. As a result, this initiative has spurred numerous government departments to embrace cloud technologies, significantly energizing India's cloud computing market.
- To harness the advantages of cloud computing, the Government of India launched an ambitious initiative dubbed GI Cloud, also known as Meghraj. This initiative aims to expedite the delivery of e-services nationwide while optimizing the government's ICT expenditures. The Ministry of Electronics and Information Technology (MeitY) has rolled out multiple initiatives to promote cloud adoption across various departments and agencies, streamlining associated processes. Furthermore, MeitY actively seeks applications from Cloud Service Providers (CSPs) to introduce additional cloud services and establish new data centers.
- Driving cloud adoption in India, the National e-Governance Plan (NeGP) plays a pivotal role. Its objective is to ensure all government services are accessible to citizens electronically, necessitating a robust cloud infrastructure. By emphasizing a unified infrastructure for hosting and managing e-governance services, NeGP has not only accelerated cloud computing adoption in government operations but also spurred heightened investment and development in the cloud sector.
- India's data center market is witnessing a surge, reflecting the rising demand. As of July 2024, CloudScene reported that India boasted 152 data centers. Mumbai topped the list with 37 data centers, closely trailed by Bengaluru with 21.
IT and Telecom to Hold a Major Share of the Market
- India's telecom industry is swiftly embracing digital transformation, primarily to adeptly manage vast data volumes and ensure uninterrupted connectivity. Telecom firms are turning to cloud computing not just to bolster their IT frameworks and fine-tune network efficiency but also to roll out innovative services like IoT, AI, and 5G. Given its scalability and flexibility, cloud computing is pivotal in managing surging data traffic and facilitating 5G network rollouts, underscoring its vital role in the telecom landscape.
- In 2023, Urban India had over 633 million wireless telecom subscribers. Leading the pack, Reliance Jio topped the charts with approximately 459.8 million subscribers, closely trailed by Bharti Airtel with around 381.7 million.
- Driven by a focus on data sovereignty and regulatory compliance, the Indian government is catalyzing cloud adoption in the IT and telecom sectors. Mandating that companies store and process data domestically, the government is making cloud computing an appealing choice, given its capacity to offer secure, compliant, and localized data storage solutions.
- Enacted on September 1, 2023, the India Digital Personal Data Protection Act 2023 (DPDPA) stood as a pivotal legislation, championing individual privacy in the digital era. This Act is pertinent to all entities handling the personal data of Indian citizens. Central to the DPDP Act is its drive to heighten accountability and responsibility among all players in India, spanning Internet firms, mobile applications, and businesses managing citizens' data. The Act underscores a robust commitment to the "Right to Privacy."
- Both the IT and telecom sectors generate and manage vast amounts of data, necessitating efficient and scalable storage and processing capabilities. Cloud computing offers a powerful platform for managing this large-scale data, facilitating real-time analytics, data storage, and disaster recovery solutions. The capacity to handle big data is vital for these sectors, empowering them to extract actionable insights, refine decision-making, and elevate customer experiences. Consequently, this fuels the demand for cloud services in these industries.
India Cloud Computing Industry Overview
The Indian cloud computing market is fragmented, with major players like Amazon Web Services, Google LLC, etc. Players in the market are adopting strategies such as partnerships and acquisitions to enhance their product offerings and gain sustainable competitive advantage.
India Cloud Computing Market Leaders
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Alibaba Group Holding Limited
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Amazon Web Services (AWS)
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Google LLC
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IBM Corporation
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Microsoft Corporation
- *Disclaimer: Major Players sorted in no particular order
India Cloud Computing Market News
- September 2024: Tata Consultancy Services (TCS) strengthened its collaboration with Google Cloud, unveiling two state-of-the-art cybersecurity solutions. These initiatives are set to fortify cyber resilience for enterprises across various sectors. The newly introduced solutions, namely TCS Managed Detection and Response (MDR) and TCS Secure Cloud Foundation, aim to bolster digital security for businesses. They achieve this by harnessing the synergistic strengths of TCS's domain knowledge and the cutting-edge technologies offered by Google Cloud.
- January 2024: NTT, a global leader in IT infrastructure and services, inaugurated a new data center campus in India. Located in Noida's data center corridor in the Delhi NCR region, the campus is carrier-neutral. It boasts interconnections with NTT's other data center locations, ensuring minimal latency, and provides seamless access to premier public cloud providers. Spanning six acres, the campus is designed to accommodate a planned capacity of 52.8 MW critical IT load across its two data centers.
India Cloud Computing Industry Segmentation
Cloud computing provides on-demand access to computer resources, especially data storage and processing power, without the user needing direct management. Computing resources, including physical and virtual servers, data storage, networking capabilities, application development tools, software, and AI-powered analytics, are now accessible over the Internet with a pay-per-use pricing model.
The report covers India's cloud computing companies, and the market is segmented by type (public cloud, private cloud, and hybrid cloud), organization type (SMEs and large enterprises), and end-user industries (manufacturing, education, retail, transportation and logistics, healthcare, BFSI, telecom and IT, and government and public sector). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Type | Public Cloud | IaaS |
| PaaS | ||
| SaaS | ||
| Private Cloud | ||
| Hybrid Cloud | ||
| Organization Size | SMEs | |
| Large Enterprises | ||
| By End-user Industries | Manufacturing | |
| Education | ||
| Retail | ||
| Transportation and Logistics | ||
| Healthcare | ||
| BFSI | ||
| Telecom and IT | ||
| Government and Public Sector | ||
| Others (Utilities, Media and Entertainment, etc.) |
India Cloud Computing Market Research FAQs
How big is the India Cloud Computing Market?
The India Cloud Computing Market size is expected to reach USD 21.37 billion in 2025 and grow at a CAGR of 19.57% to reach USD 52.22 billion by 2030.
What is the current India Cloud Computing Market size?
In 2025, the India Cloud Computing Market size is expected to reach USD 21.37 billion.
Who are the key players in India Cloud Computing Market?
Alibaba Group Holding Limited, Amazon Web Services (AWS), Google LLC, IBM Corporation and Microsoft Corporation are the major companies operating in the India Cloud Computing Market.
What years does this India Cloud Computing Market cover, and what was the market size in 2024?
In 2024, the India Cloud Computing Market size was estimated at USD 17.19 billion. The report covers the India Cloud Computing Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the India Cloud Computing Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
India Cloud Computing Industry Report
Statistics for the 2025 India Cloud Computing market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. India Cloud Computing analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
