The Economics of the Cloud Services Market An analysis of the competitive landscape of the cloud services market requires an understanding of its key economic characteristics. [...] The Competitive Landscape of Global Cloud Services Market studies on the competitive landscape of the cloud computing market across geographies have largely focused on the public cloud, which contains the largest number and broadest spectrum of users. [...] In the US, the Federal Trade Commission (FTC) initiated an inquiry into the business practices of cloud computing providers in March 2023.40 The FTC highlighted the following competition concerns: licensing practices limiting the ability to use the software of other cloud infrastructure providers, egress fees affecting the ability to switch or use multiple cloud providers, and minimum spend contra. [...] The Autorité de la concurrence noted that the power of large CSPs to control access to their marketplaces grants them the ability to impose several kinds of restrictions, such as those pertaining to the marketing of products, usage of technical tools, and licences, with implications for the ability of ISVs to compete with the SaaS products of the marketplace operator. [...] Indian Cloud Market: Trends and Issues Transformation of India’s PCS Market India’s PCS market accounted for 1.1-1.2% of the global PCS market in the 2020-23 period and is estimated to have grown at a CAGR of 29.01% to reach USD 8.3 billion during the same time.75 The need for business continuity and rapid digitisation during the COVID-19 pandemic (2021 onwards) led to rapid growth of the Indian p.
Authors
- Pages
- 38
- Published in
- India
Table of Contents
- Authors 2
- Payal Malik 2
- Bhargavee Das 2
- Harishankar Thayyil Jagadeesh 2
- Abstract ............................................................................................................................ i 3
- 1. Introduction ............................................................................................................... 1 3
- 2. The Economics of the Cloud Services Market ............................................................... 3 3
- 3. The Competitive Landscape of Global Cloud Services 3
- ....................................................... 6 3
- 4. Global Regulatory Inquiries 3
- .............................................................................................. 10 3
- 5. Competition Concerns in Cloud Services Market 3
- ............................................................. 11 3
- 6. Indian Cloud Market Trends and Issues 3
- .......................................................................... 16 3
- 7. Conclusion 3
- ......................................................................................................................... 28 3
- Abstract 5
- Acknowledgements 5
- Keywords 5
- Cloud Computing Competition Digital Markets Digital Public Infrastructure. 5
- JEL classification 5
- L1 L2 L4 L5 O3 5
- Authors email 5
- Disclaimer 5
- 1. Introduction 6
- Figure 1 Cloud computing service delivery models 7
- Figure 2 Key Concepts in Cloud Deployment 8
- 2. The Economics of the Cloud Services Market 8
- Economies of scale 9
- Figure 3 Pathways of Economies of Scale 9
- Network Effects 10
- Vertical Integration and Conglomerate Effects 10
- 3. The Competitive Landscape of Global Cloud Services 11
- Figure 4 Current and Expected CAGR of the Global Public Cloud Market 12
- Figure 5 Market Shares of Top 3 Vendors by Service Delivery Models 2023 13
- Figure 6 Current and Planned IT Deployment Models 2024-27 14
- Flexibility 14
- Disaster Recovery and Reliability 15
- Bargaining power 15
- 4. Global Regulatory Inquiries 15
- 5. Competition Concerns in Cloud Services Market 16
- Egress Fees 16
- Table 1 Consumer Harm Due to Egress Fess 17
- Committed Spend Discounts 18
- Licensing Restrictions 19
- Tying and Bundling 19
- Technical Barriers 19
- Table 2 Technical Barriers in Cloud Computing 20
- Hyperscaler-Owned Cloud Marketplaces 20
- 6. Indian Cloud Market Trends and Issues 21
- Transformation of Indias PCS Market 21
- Figure 7 Current and Expected CAGR of the Indian Public Cloud Market 22
- Competitive Landscape of the Indian PCS Market 22
- Figure 8 Market Shares of the Top Three Vendors by Segment 22
- Major players in the Indian IaaS market 23
- Microsoft 23
- Table 3 Microsoft Competitors in Select PaaS Categories 23
- Table 4 Microsoft Competitors in Select SaaS Categories 23
- AWS 24
- Table 5 Major AWS Deals Across Industries 2023 25
- GCP 25
- Table 6 Major GCP Deals Across Industries 2022-23 26
- Market Trends 26
- Partnership Between Telcos and Hyperscalers 26
- Increasing Multi-Cloud Adoption 27
- Figure 9 Drivers of Multi-Cloud Adoption in India 27
- Figure 10 Technical Challenges to Multi-Cloud Adoption for Enterprises 28
- Nascent CSPs and Competition 29
- Digital Public Infrastructure and Lateral Entry for Enhancing Competition in Cloud Computing 29
- Competition Issues Identified Through Stakeholder Consultations 30
- 7. Conclusion 33
