63% of India’s Enterprises Ramped Up Investment in Hybrid Cloud to Mitigate Impact of covid-19

Reported by: |Updated: December 24, 2020

63% of India’s Enterprises Ramped Up Investment in Hybrid Cloud to Mitigate Impact of covid-19

Nutanix has revealed that Indian enterprises are fully committed to hybrid cloud models and are viewing IT more strategically in their organizations.

As the pandemic swept across the globe, enterprises overnight turned to cloud infrastructure to accommodate workers who were forced to work remotely. The report shows that a hybrid model was without doubt the model of choice in India, with 63% of India’s enterprises having increased their investment in hybrid cloud as a direct result of the pandemic, compared to just 46% globally. The insights come from the third annual Enterprise Cloud Index, which measures progress with adopting private, hybrid and public clouds, and this year explored the impact of COVID-19 on current and future IT decisions and strategy.

Sendil Kumar Venkatesan 

Chief Technology Officer, Shriram Capital Ltd

Additionally, the report finds that 97% of respondents declared hybrid cloud was the correct architecture for their organizations, higher than the global average of 87%.  Organizations in India are also developing ambitious plans, the report concludes, with more than half (56%) saying they plan to run an integrated hybrid environment within five years, and respondents also stating that traditional datacenter penetration will drop from 13% to 3%.

“For true agility and scalability, hybrid cloud and hyperconverged infrastructure, has been our architecture of choice. If you look at the priorities for CIOs today- security, application modernization, and automation are at the top of the list. Hybrid cloud allows them the flexibility to choose the best environment for each of these needs, with the right cost management” said Mr. Sendil Kumar, Chief Technology Officer at Shriram Capital. “we see that more than 60% new business transactions are happening over mobile. As consumers adopt digital, companies such as ours, rely on new tech such as AI/ML to deliver better customer experience and outcomes. We need a robust cloud infrastructure to be able to provide for this digital acceleration.

“Cloud infrastructure is now a critical component of IT infrastructure, as Indian enterprises branch further into investing in digitization and look for secure alternatives for their workloads.  In the business environment brought about by the pandemic, flexibility and security have emerged to be of utmost importance, and Indian enterprises need the ability to match workloads to the best environment.” said Balakrishnan Anantharaman, managing director, sales, India and SAARC, Nutanix.

“The untapped potential of hybrid cloud solutions is finally being recognized by Indian companies as they move away from legacy IT systems and adopt cloud solutions,” Balakrishnan continued.

The findings also highlight that while cost savings are a driver in deciding to modernize IT infrastructures, it is not the primary factor. Better control of IT resource usage (79%), increased speed to meet business needs (69%), and better support to customers (60%) are the key factors to modernization.

“India’s organizations have recognized that COVID-19 has accelerated us into a new era of strategic IT and raised its profile considerably. The report suggests that India is a front runner when it comes to modernizing IT infrastructures as we begin our journey into a new normal”, Balakrishnan added.

India’s appetite for hyperconverged infrastructure (HCI) is also apparent in the ECI report, with nearly three-fourths (72%) stating that they have already deployed or are in the process of deploying HCI, compared to 50% of global respondents.

To learn more about the report and findings, please download the full third Nutanix Enterprise Cloud Index, here.