The revenue from public cloud services in India is projected to grow 37.5 percent in 2018 to $2.5 billion, up from $1.8 billion in 2017, market research firm Gartner said on Wednesday.
"While the public cloud revenue market in India exhibits solid growth in 2018, the growth rate is expected to flatten, which is indicative of a maturing market," Sid Nag, Research Director at Gartner, said in a statement.
Gartner estimated that Infrastructure-as-a-Service (IaaS) would be the fastest-growing segment of the public cloud market. IaaS in India is forecast to total $1 billion, an increase of 46 percent from 2017.
"While IaaS enables efficiencies and cost benefits, organisations need to be cautious about IaaS providers potentially gaining unchecked influence over customers and the market," Nag pointed out.
In regions such as India, pricing would be a major factor in selection of public cloud providers by organisations.
"In response to multi-cloud adoption trends, organisations in India are also increasingly demanding a simpler way to move workloads, applications and data, across cloud providers' IaaS offerings without penalties," Nag added.
Software-as-a-Service (SaaS) still remains the largest segment of the public Cloud market in India, with revenue expected to reach $932 million in 2018, an increase of 34 percent year-on-year.
According to Nag, SaaS users are increasingly demanding more purpose-built offerings engineered to deliver specific business outcomes.
Under the Platform-as-a-Service (PaaS) segment, database PaaS (dbPaaS) would be the fastest-growing segment over the next four years.
The dbPaas segment would reach $32 million in 2018, which is an increase of 50 percent from 2017. Gartner expects the segment to reach almost $113 million by 2022.