How can cloud computing accelerate India’s digital future?

India's digital transformation is rapidly accelerating, with cloud computing at its core. In a recent webinar, we explored the future of cloud in India, its challenges, and its transformative potential. With insights from Janakiram MSV and Kunal Kushwaha, we uncovered how cloud, AI, and IoT are reshaping industries and what opportunities lie ahead for businesses and developers.

Through this blog, we will recap some of the core topics discussed and guide you through the cloud landscape in India. To watch the full recording, check it out on our YouTube channel 👇

What are the main challenges holding back cloud adoption in India?

1. Regulatory and compliance gaps

One of the biggest challenges is the lingering hesitation among enterprise leaders. ”Many businesses have these concerns about data security, control, and governance,” Janakiram explained. “They believe that migrating to the cloud will compromise their ability to control their data, privacy, and compliance.” This mindset remains a significant roadblock in India’s cloud adoption journey, particularly among larger enterprises.

As hyperscale providers continue to dominate global cloud markets, users are faced with ever more opaque data use policies and billing practices, with many cloud providers freely transferring user data across multiple jurisdictions where it can be subject to differing data protection and surveillance laws.

At Civo, we have just launched our new Indian Sovereign Cloud, based in Mumbai, Maharashtra, ensuring full compliance with Indian regulations. It guarantees data security while empowering both public and private organizations to retain control over their critical data, fostering trust through transparent, security-first operations.

“At Civo, we believe that innovators the world over deserve fully sovereign, secure, and scalable cloud solutions. India’s surging cloud market has a golden opportunity to forge a new path that puts users first, and we’re thrilled to have the chance to offer our Indian customers cloud native technologies and help businesses in the region to build their technologies on a foundation of transparency and fairness.” - Mark Boost, CEO and Co-founder of Civo

Data sovereignty has emerged as a pivotal factor in India’s cloud adoption narrative. As Janakiram MSV explained during the webinar, “India, being one of the largest democracies in the world, needs to be very, very concerned about data leakage and about privacy getting compromised.” With the growing digitization of India’s economy, ensuring that sensitive data remains within the country’s political and geographical boundaries has become a non-negotiable requirement.

2. Cost and affordability concerns

While cloud computing is often seen as cost-effective, the perception of high upfront costs still deters many businesses. Janakiram pointed out that “there are still concerns around the high costs involved in migrating to the cloud, particularly the initial investments in working with system integrators and refactoring workloads.” This creates a significant barrier to adoption for many organizations, even if the long-term benefits outweigh the costs.

Despite initiatives to ease cloud migration, “Businesses often get excited about cloud, but when the free credits run out, they’re faced with unexpected bills that come as a shock”. At Civo, we believe in a fairer cloud for all that removes any hidden fees and makes using the cloud faster, easier to use, and simply more cost-effective.

Civo’s new India region will be priced the same as other Civo regions, approximately 50% cheaper than Big Tech competitors that increase the price for their services in India.

How can businesses contribute to sustainability through the cloud?

Sustainability is increasingly a key priority for businesses worldwide, and the cloud offers powerful tools to reduce environmental impact while driving innovation. Leveraging cloud technologies not only optimizes resources but also aligns businesses with eco-friendly practices.

Janakiram explained, “When you move to the cloud, you’re essentially transitioning to a shared infrastructure… Cloud providers are heavily investing in renewable energy and green technologies, which reduces the overall carbon footprint compared to private data centers.”

To drive India’s digital growth responsibly, Civo’s new India region uses data center infrastructure running on up to 80% renewable energy, provided by Sify Technologies. The center’s low-latency connections provide exceptional performance across the Indian Subcontinent and Southeast Asia, ensuring businesses can adapt, scale, and run applications seamlessly.

“We’re very excited to host Civo at our world-class data centre facilities in Mumbai India. At our 80% renewable-energy powered data centre, Civo joins a growing collection of providers signalling their commitment to ensuring tomorrow’s technology doesn’t cost the planet. Civo's enterprise solutions share Sify’s agenda of empowering Indian enterprises and accelerating their digital transformation.” - Howard Thomas - Managing Director Sify Technologies Europe

What will define the future of cloud in India?

India’s cloud computing future will be shaped by its ability to address key challenges and foster innovation. With a rapidly growing digital economy and a focus on data sovereignty, India is well-positioned to lead in the adoption of cloud-native technologies. As Janakiram MSV stated, “India’s digitization is just at the tip of the iceberg. The time to act is now, as this is the opportunity for cloud providers and enterprises to work with the government and ensure that data sovereignty is maintained.”

Cloud providers like Civo are stepping up to meet this need, offering solutions that prioritize compliance, transparency, and scalability.

”At Civo, we understand that sovereignty and compliance are more than just checkboxes—they are the foundation of trust. Our India Sovereign Cloud is designed to empower businesses with secure, reliable cloud infrastructure, ensuring that their data remains protected and within Indian jurisdiction. This launch is about giving India’s developers and enterprises the control and peace of mind they deserve in today’s digital age.” - Kunal Kushwaha, Civo CTO

As India continues to innovate, its success will depend on collaborative efforts between technology providers, businesses, and policymakers. Civo is proud to play a role in this transformation, helping to ensure that trust, sustainability, and innovation converge to shape the country’s digital future.

If you still want to learn more about what we are doing at Civo, check out some of these resources:

• Civo’s INR 200 Crore investment into the Indian tech market
• Press release announcing the launch of Civo’s new Mumbai cloud region
• Civo India Sovereign Cloud