India's Cloud Spending to Reach $17.5B
Analysis based on 14 articles · First reported Jun 01, 2026 · Last updated Jun 01, 2026
The forecast of substantial growth in public cloud spending in India>>>, particularly in IaaS and PaaS segments, suggests increased investment opportunities for technology companies operating in cloud infrastructure and AI. This positive outlook for India>>>'s digital transformation could attract further foreign investment and boost the valuations of companies providing these services.
End-user spending on public cloud services in India>>> is projected to reach $17.5 billion in 2026, a 28.1% increase from $13.7 billion in 2025, according to a report by Gartner>>>. This growth is primarily driven by strong enterprise demand for AI-ready cloud infrastructure, application modernization, and digital transformation initiatives. Infrastructure-as-a-service (IaaS) and platform-as-a-service (PaaS) are expected to be the fastest-growing segments, with projected growth rates of 40% and 25.4% respectively. Ashish Banerjee>>> and Arunasree Cheparthi>>>, Senior Principal Analysts at Gartner>>>, highlighted that cloud adoption is increasingly aligned with business goals such as improving productivity, accelerating innovation, and enhancing customer experience. The report also identifies governance of complex hybrid, multicloud, and AI-enabled environments as a significant challenge for enterprises.
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