Opportunities and challenges for the cloud-services sector


By Sudhir Kothari, CEO and Managing Director, Embee Software Pvt Ltd

With over 60% of businesses using cloud services, it is obvious that cloud business is not only here to stay but grows substantially. Regardless of the size of the business, cloud computing can affect the speed and intensity of its growth through several factors. When businesses are on the cloud, complex tasks are made simpler and data processing more efficient.

Cloud services are on the rise as organisations worldwide understand its significance and leverage it for cost optimisation, streamlined and efficient operations, increased flexibility, and growth. The pandemic has also accelerated the adoption process of cloud services, and the sector is growing astronomically. But for every business in the industry, it’s essential to know the opportunities and challenges the market presents.

Understanding the obstacles

 The skill gaps

 The cloud services sector faces some roadblocks, and one of the most significant is the demand-supply gap when it comes to skilled resources. As cloud adoption increases exponentially and companies across industries integrate it into their systems, the need for highly skilled professionals has also intensified.

However, compared to the pace at which the cloud services sector is evolving, businesses are constantly looking for the crème-de-la-crème of talent. Job profiles like cloud developer, cloud architect, cloud engineer, full-stack developer, cloud consultant, cybersecurity analyst, etc., are in high demand. 

Understanding the rapid evolution of cloud services, aspirants and working professionals are going the extra mile to upskill themselves, stay updated on the latest industry trends, technologies, and working, and avoid becoming redundant amid cut-throat competition. On the other hand, organisations are leaving no stone unturned to bridge the demand-supply gap by providing upskilling courses and hands-on training for employees.

The security concerns

Another significant challenge posed for the cloud services sector is security. As technology advances leaps and bounds, the threat of security breaches and fraudulent activities is also on the rise. According to reports, as of 2021, 98% of enterprises have contended with a cloud security breach in 18 months. This is a significant jump from the mere 20% of companies that experienced cloud security issues in 2020.

To keep cybersecurity threats at bay, organisations are not only bolstering their tech infrastructure but also adopting hybrid cloud models where data is stored in public cloud and the company’s data centre. Especially when it comes to confidential data, the hybrid cloud model is beneficial in providing ample security.

Cost management and containment

Cloud computing can save a lot of money for enterprises. But due to the on-demand nature of cloud computing services, it can be difficult for enterprises to contain costs and predict the scalability. 

Hesitancy in adoption

Organizations post-pandemic and even before that weren’t fully prepared to drive into the cloud era. A lot of companies still don’t possess a robust cloud adoption strategy and lack of coordination among teams can play a pivotal role in hampering a smooth transition to a robust cloud environment. 

Now, given its rate of growth, what opportunities does the cloud services sector offer?

Opportunities are aplenty

Despite the challenges for which organizations are finding comprehensive solutions, cloud services offer a goldmine of opportunity for every industry. For instance, cloud-based services can immensely benefit the education sector. With the cloud, education platforms and even the government can help facilitate remote learning, something that has become abundant since the pandemic’s onset.

Similarly, when it comes to healthcare, adopting cloud computing will enable hospitals and healthcare facilities to store patient data securely, streamline the process, and enhance operational efficiency. Cloud services can also augment telemedicine, which is still at a nascent stage.

There are other benefits associated with cloud services which include reduced costs, the ability to scale up processes, enhanced productivity, reliability and better provisions to handle large amounts of data in different fields. 

Additionally, traditional businesses like banking, too, are increasingly leveraging cloud services by moving their core financial applications to the cloud for better outcomes. And as for tech enterprises, the integration of the cloud will only augment their existing product and service offerings further as it offers highly elastic and scalable utilization of resources. In India, the public cloud services market is expected to reach USD 10.8 billion^ by 2025.  


The cloud services sector is unimaginably vast. With the potential that cloud services offer, it’s evident that we have barely scraped the tip of the iceberg. The day when cloud services will be fully integrated into every business worldwide isn’t far.   



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