There is a global surge in adoption of cloud services after the coronavirus outbreak. The surge in cloud services is quite like the story of the sage who won a game of chess against a king and as a prize asked for a grain of rice on the first square on the chessboard and double it for every consequent square. Doubling the number of grains of rice on each square on a chessboard would mean over 18 quintillion grains of rice or 1.4 million metric tonnes.
"The cloud market is just entering the second half of the chessboard," says Vaibhav Gawde, Head- Solution Engineering, Oracle India. That means, there is going to be phenomenal growth in the cloud business. The pursuit of higher performance, lower costs, easier integration and smoother cloud migration has made cloud services important for organizations of all sizes, across sectors.
While the current global addressable market for cloud and private cloud is $213 billion, this pales in comparison to the worldwide IT spending of $3.8 trillion.
Enterprise IT comprises of business-critical work (the core applications) and peripheral. This ratio has been changing for some time. Currently, peripheral is a 36 per cent opportunity globally while the core accounts for the balance 64 per cent. As things stand, a quarter of the peripheral is on-premise, which means 75 per cent can be cloudified.
Gawde explains that as far as the core is concerned, due to legacy issues and being crucial -availability and performance issues-to the enterprise, almost 80 per cent is on-premises. That is not easy for the enterprise. Overall 80 per cent of the business-critical and 25 per cent of the peripheral account for 60 per cent of the workload that will predominantly be on-premise.
Enterprises are looking for performance, cost optimisation and security to host that kind of workload. They want enterprise SLAs. It is not about availability, but also performance. They want 100 per cent SLAs around performance. If the performance is impacted, I will be out of business.
Much of what we offer is on the public cloud. Gawde points out that large Indian customers who want everything hosted on their premises. They want all the services-if I am launching autonomous services, those can be available only on the public cloud.
According to a recent NASSCOM, the Indian cloud computing market is currently valued at $2.2 billion and is expected to grow at 30 per cent (year-on-year) to reach $7.1 billion by 2022. Oracle offers highly automated and secure second-generation cloud infrastructure driven by self-securing, self-repairing and self-driving Autonomous Database. In fact, this is unique to Oracle and makes us stand apart when it comes to security.