Airtel, Amazon Web Services may sign pact to tap small, medium businesses1 min read . Updated: 05 Aug 2020, 10:28 AM IST
- Airtel’s initiative with AWS will compete with Mukesh Ambani’s Reliance Jio Infocomm Ltd and Microsoft partnership in a market that has been witnessing a surge in public cloud demand
- Airtel has been widening its digital reach, with the covid-19 pandemic increasing the need for digital transformation
Bharti Airtel Ltd and Amazon Web Services (AWS), the cloud services subsidiary of e-commerce giant Amazon.com, are expected to enter into a strategic alliance to cater to the small and medium enterprises segment, said a person aware of the matter.
The announcement is likely later on Wednesday, where Airtel’s chief operating officer and head of cloud and security business, Harmeen Mehta, and Puneet Chandok, president of commercial business, India and South Asia, Amazon Internet Services will be present.
Airtel’s initiative with AWS will compete with Mukesh Ambani’s Reliance Jio Infocomm Ltd and Microsoft partnership in a market that has been witnessing a surge in public cloud demand. According to consulting firm Boston Consulting Group (BCG), India’s public cloud market is expected to reach $8 billion by 2023.
The public cloud market in India was worth $2.6 billion in 2019, said BCG, much higher than an estimate by research firm Gartner of $1.9 billion. This shows that the country’s cloud-based working has been growing.
Airtel has been widening its digital reach, with the covid-19 pandemic increasing the need for digital transformation and Jio Platforms Ltd, the digital services arm of Reliance Industries Ltd (RIL), announcing massive investments and initiatives in this space.
Recently, Bharti Airtel chief executive Gopal Vittal outlined a digital strategy to monetize demand across its digital assets from quality customers. The telecom operator has also started testing its adtech model, which has generated modest revenue.
Bharti Airtel, which is the largest player in the B2B connectivity space, has also launched a videoconferencing service, Airtel BlueJeans, in partnership with US-based telecom giant Verizon Wireless. The service has been rolled out only for enterprises, and may be extended to individuals gradually, and will be free for the first three months.