Indian Public Cloud Services Market to Reach $30.4 Billion by 2029, Growing at 22.6% CAGR – Gartner - August 6, 2025
The Indian public cloud services (PCS) market, including infrastructure-as-a-service (IaaS), platform-as-a-service (PaaS) solutions, and software-as-a-service (SaaS), revenue totalled $10.9 billion for 2024, according to the International Data Corporation (IDC) Worldwide Semi-annual Public Cloud Services Tracker, 2H 2024. The overall Indian public cloud services market is expected to reach $30.4 billion by 2029, growing at a CAGR of 22.6% for 2024-29.
Harish Krishnakumar, senior market analyst, IDC
“Indian enterprises are increasingly investing in public cloud services to modernize legacy systems, introduce digital services, improve efficiency, and drive innovation,” said Rajiv Ranjan, associate research director, Cloud and Artificial Intelligence, IDC India. “AI adoption will be a key catalyst, with significant portion of services being deployed on public cloud platforms. Growth will be fueled by rising demand for AI-powered software, fully managed compute and storage systems, and SaaS, especially collaboration, content services, and core business applications delivered via consumption-based models.”
The top two vendors continued to hold more than 40% of the market in 2024. SaaS continued to be the largest category in the overall public cloud services market, followed by IaaS and PaaS.
While segments like AI platforms, application development software, etc., recorded strong growth, IaaS, collaborative applications, customer relationship management (CRM), enterprise resource management (ERM), etc., remain the largest segments in terms of revenue.
“With public cloud continuing to be one of the top deployment models for Indian enterprises, the domestic public cloud market recorded robust growth in 2024,” says Harish Krishnakumar, senior market analyst, IDC India. “This momentum is driven by enterprises increasingly prioritizing automation, streamlining business processes, enhancing employee productivity, improving customer experience, etc. Additionally, the rising adoption of GenAI tools and services and sustained application modernization initiatives would accelerate public cloud adoption in the coming years.”
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