Amazon To Venture $12.7 Million in India's Cloud Infrastructure By CIOTechOutlook Team

Amazon To Venture $12.7 Million in India's Cloud Infrastructure

CIOTechOutlook Team | Thursday, 18 May 2023, 06:23 IST

To address rising customer demand for cloud services in India, Amazon Web Services (AWS) announced it will invest $12.7 billion (Rs 1.05 lakh crore) in country's cloud infrastructure by 2030. An estimated average of 131,700 full-time equivalent (FTE) jobs per year are anticipated to be supported by investment in Indian companies.

By 2030, AWS will have invested a total of $16.4 billion in India, up from $3.7 billion between 2016 and 2022, which helped sustain 39,500 FTE annually in Indian firms.

In a time of unprecedented global uncertainty, where businesses are increasingly turning conservative, Adam Selipsky, the newly appointed CEO of AWS, said that India remains a "bright spot" and that there is significant room for increased adoption of cloud computing by both Indian businesses and the government.

“We see digital innovation proceeding really rapidly in India. I was just incredibly impressed by the amount of activity I saw when I was there (in April). I know government is trying to build a trillion-dollar digital economy by 2025, on the way to a $5 trillion economy over the next few years. And, embracing cloud technology is critical for India to realise those ambitions,” he said when asked about the outlook of the Indian market compared with that in the US and Europe.

However, he emphasised that just a small portion of IT spending worldwide has shifted to the cloud, with early stages of adoption among businesses and users in the public sector in India.

Two of India's largest digital public infrastructures (DPI) are currently hosted by AWS: the immunisation platform Cowin and the document storage network DigiLocker. The AWS Asia Pacific (Mumbai) Region and the AWS Asia Pacific (Hyderabad) Region, both of which were established in November 2022 and 2016, respectively, have two data centre infrastructure regions in India.