India Could Be One Of The Biggest Cloud Hub For Amazon.com, Inc. (NASDAQ:AMZN)’s AWS In Near Future

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Amazon.com, Inc. (NASDAQ:AMZN) is ready for a major move into India with a regional hub for its Amazon Web Services (AWS). The company will be setting up AWS datacenters in India party to speed up access and also to help customers address data sovereignty issues. According to Amazon, it is possible that India could over time become one of its largest cloud regions.

Amazon plans to open what it calls an infrastructure region for AWS in India in 2016. Andy Jassy, SVP of AWS, said that several of the existing customers in India and prospective ones have asked that they locate AWS datacenters in the country. Amazon believes that such a move would lower latency to the end users and also satisfy regulatory data storage requirements.

In addition to moving into India with AWS datacenters for the cited two reasons, Amazon.com, Inc. (NASDAQ:AMZN) also sees far more opportunities being in the market. Jassy said that over the long term, there is a strong chance that India would be one of the largest infrastructure regions for AWS.

Serving India with outpost hubs

Currently, AWS customers in India use one of the 11 cloud infrastructure regions that Amazon has outside the country. Amazon’s AWS serves tens of thousands of customers based in India.

AWS customers in India

One of the major India corporations that use AWS is Tata Motors, whose telematics and customer portal systems are based on AWS. According to Tata’s CIO, Jagdish Belwal, it takes a shorter period to set up a system on AWS.

Indian media company NDTV also makes use of AWS, and appreciates how the service helped it to meet an unprecedented surge in traffic during the May 2014 elections. From just 500 million hits a day, NDTV was processing 13 billion hits daily with hits per second peaking at 400,000. Deployment of AWS helped to satisfy the strong demand.

Amazon.com, Inc. (NASDAQ:AMZN) hopes that setting AWS datacenters in India would help its customers in the local market do even more. Currently, Amazon operates four AWS infrastructure regions in the U.S., two in Europe, four in Asia Pacific and one in South America.

Neha Gupta

Neha Gupta has been in the financial space for over six years now. Gupta earned her MBA degree from Symbiosis Centre of Distance Learning in 2009 and her passion for finance led her to pursue Chartered Financial Analyst (CFA) course. She has successfully completed Level II of her CFA. She is a veteran in article writing, which is depicted in her numerous pieces published on SeekingAlpha, Nextiphonenews, InsiderMonkey, MarketWatch, and Techinsider. Her crisp and eloquent writing finds its best place in Researchcows, where emphasis is given on developing rich content for various websites, products, business plans, trainings, and book writing.

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