This document analyzes cloud opportunities for Big4 in India. It provides an industry overview noting cloud's growth and how Indian SMBs are poised to adopt cloud. The document outlines opportunities for Big4 in cloud strategy, CRM/ERP-as-a-service, and developing cloud solutions. Potential partners are identified in various cloud areas. Key industries for cloud focus include manufacturing, healthcare, education, retail, and media. The document concludes by thanking the reader.

1. Analysing Cloud Opportunity
for Big4
January 2011

2. Agenda
Industry overview
Indian Context
Opportunities

3. Industry Overview
Cloud will be the next big thing which business will adopt
to get more flexibility…
Gartner IT Outlook 2014:
“Cloud Computing” tops
among the four trends that will
support change in IT.
“…It will fundamentally change the
relationship between buyers and
providers of IT Services...”
Source: McKinsey Global Survey Result, Nov 2010

4. Industry Overview
Economic condition and technology innovations helping
Cloud..
• Plan for Peak
• 1:1 ratio for server per
application
• Low server utilization
• Huge Capex
• Custom Solution, not user
friendly
• Low Agility
• No Broadband
• Effective broadband
• SOA, Web Service
• Lightweight SMB apps
• SaaS / IaaS / PaaS
• Super Broadband
• SMB mindset
• Economy
• Netbooks/tablets
• Telcos as a
channel

5. Agenda
Industry overview
Indian Context
Opportunities

6. Indian context
The Indian SMBs will jump the technology curve to move
directly to Cloud..
“India has a legacy of jumping technology
curves e.g. in the telecom sector, and it is
expected that cloud would also show the
similar behavior. The companies that are
currently not adopting IT and don't have
major investments in datacenters and server
farms are expected to shift directly to the
cloud model. Verticals such as retail,
manufacturing, banking, education, and
healthcare will rely upon cloud services for
better reach.” – Zinnov Management Consulting
“India will move directly to
the cloud, much like it
bypassed the landline
revolution that never
happened and leapt to
mobile phones…”
-Ballmer, CEO Microsoft

7. Indian context
Indian business organizations show
similar characteristics as its global
peers on advantages and challenges
of cloud…

8. Indian context
Preferred channels for cloud services for Indian SMBs..
The IT service providers has pivotal role to play in bringing the ecosystem
together in the supply side to select the right cloud solution for an
organization, as well as improving the organizational maturity in terms of
how IT function works in the cloud environment.
IT Service Providers or System Integrators 46%
Data Centre Service Providers 46%
Hardware and software vendors 8%

9. Indian context
Cloud adoption trends by SMBs..
Cloud adoption will be
determined by the following
factors-
Interdependency between
applications
Integration needs
Facilitating business
transactions
Achieving efficiency and
competitive edge
Ease of deployment

10. Indian context
Collaborative Apps, CRM and ERP dominates the market..
38%
32%
10%
3%
17%
Workload wise distribution of SaaS market in
India, 2009
Collab apps
CRM
ERP
Security
Others
Workload USD
Collab Apps 20 Mn
CRM 16 Mn
ERP 4.5 Mn
Security 1.6 Mn
Others 7-10 Mn
Total Market size is USD 50-60 Mn
with 30-40% CAGR
Source: Zinnov Management consulting

11. Agenda
Industry overview
Indian Context
Opportunities

12. Opportunity
Broad spectrum of possibilities..
Alternati
ves
Description Cloud
Model
Provider
Example
Big4
Capability/
Methodology
Rehost Redeploying applications to a different
hardware environment
HIaaS /
SIaaS
Amazon EC2,
Rackspace,
VMWare
NA
Refactor Running application (web apps) on could
provider’s infrastructure , or making
changing application code /configuration to
use cloud infrastructure service
SIaaS / SaaS Windows Azure Enhance and
Integrate
Revise Modernize legacy application and then
rehost or refactor options to deploy to cloud
HIaaS, PaaS
(SIaaS)
As above Enhance and
Migrate
Rebuild Rebuild a solution on a provider’s
application platform
PaaS Force.com,
Google App
Engine
Build and
Migrate
Replace Discard existing application and user
commercial software delivered as aaS,
migrate data to SaaS environemnt
SaaS Salesforce CRM,
SugarCRM,
Zoho, Workday
HR, Lotus Live,
Microsoft Office
Live, Google
Docs
Strategize and
Implement
NewSystemsExistingSystems

13. Opportunity
Possible cloud offerings from EAI..
1. Cloud Strategy 2. CRM on-
demand
3. ERP on-
demand
4. Develop 5. Provide cloud
solution
Opportunity Combine Cloud
strategy with EA
offering in the SMB
sector. Entry route for
Big4, which can be
followed by
implementations.
Fastest adoption in
the cloud, if we don’t
do it somebody else
will do. High
potential market.
Great opportunity
for EAI to move into
ERP space, barring
the big vendors there
are few good Indian
providers e.g. Ramco
Developing in the
cloud platform or
integrating legacy
apps with cloud,
important for us to
get bigger mind
share in the cloud
market
Offering some SaaS
based solution to our
customers e.g.
enabling nForce as
SaaS.
Value proposition IT cost reduction,
Transform IT, can
target 10-15% IT cost
reduction
Business efficiency,
low TCO
Business efficiency,
low TCO
Business flexibility Lower TCO
Key considerations Partnering with cloud
service providers
Align with SaaS
providers
Align with SaaS ERP
providers
None Need to find hosting
options
Value/size 5-10 lakhs 10-30 lakhs plus
markup on the tool*
10-30 lakhs plus
markup on the tool*
NA NA
Investments Need to acquire
Infrastructure related
skill
Has existing skills Need to acquire skills Need to acquire /
develop skill
Need to redesign
application for cloud
Go to market
Timeframe
Immediate Immediate Short to medium
term
Medium to long term Long term
* Already in talk with different vendors and trying to understand the revenue model for us and also typical project value

14. Opportunity
Cloud Strategy can be aligned with our EA offering ..
Application
Portfolio
Management
Legacy
Modernizati
on
Application
Platform
Strategy
Buy, Build,
Borrow or
Rent?
Cloud
Adoption
Strategy
Application
Cloud
Migration
Application consolidation,
Cost-benefit analysis
Implementation Strategy,
Roadmap, ROI analysis
Evaluating cloud service
provider, supply side and
demand driven analysis
Evaluating type of cloud
service and platform
based on organization’s
overall architectural
standpoint
Short listing candidates
for migration based on
interdependency and
complexity
Ref: Cloud Adopting Steps by Gartner

15. Opportunity
Possible Partner Alignment strategy..
Cloud Service Key Players Partner Strategy Big4 Advantage/
Disadvantage
CRM Salesforce
Sugar CRM
Zoho
Impel
Become channel
partner
We have existing skills on
SugarCRM, we can directly tie up
with these players or tie up with
TataComm which already offers
SugarCRM as their SaaS offering
ERP, HRMS Ramco
iWeb
K-Serve
HRMantra
Become channel
partner
These are Indian cloud providers
and already has good market, they
already have channel partner
strategy.
Infrastructure Tata Comm
Reliance
NetMagic
Sify
Joint go to market TataComm among them has more
wider spectrum of aaS including
IaaS and SaaS
Collaborative Apps Google
Microsoft Office Live
Lotus Live
N.A. Not very attractive from Big4 point
of view
Platform Google App Engine
Microsoft Azure
Amazon EC2
N.A. Will take time for industry to adopt
this
HighPriority
Note: Player with strong India presence are considered here, Oracle and MS are not considered for ERP.

16. Opportunity
Possible SMB Industry focus for cloud..
Industry Overview CRM ERP Collaborat
ive Apps
Infrastruc
ture
Platform
Manufacturing Comparatively lower IT
maturity, low IT
spending (<1% of
revenue)
Yes Yes Yes Yes
Healthcare Growth stage of IT
maturity, compliance
and regulatory aspect is
pivotal in cloud
decisions
Yes Yes
(HRMS)
Yes Yes
Education Nascent stage in IT
maturity, good
opportunity for cloud
Yes Yes
(HRMS)
Yes Yes Yes
Retail,
Consumer goods
Higher spending in IT,
SMB sector will move to
cloud faster than larger
counterpart
Yes Yes Yes Yes
Media Nascent stage in IT
maturity, good
opportunity for cloud
Yes Yes Yes Yes

17. 17
Thank You
This is a market analysis done at an individual capacity level and and view of an individual and not a property or
view of any organization.