There is a huge growth in the Indian data centre market, says Sunil Gupta, executive director & president, Netmagic, an NTT Communications company. Data centres are an important part of infrastructure and the government’s Digital India campaign has created a huge demand for the data centre business. “A bigger focus on cloud, mobility and analytics has made many businesses rethink their data centre strategies; they are evaluating data centre architecture that would provide them the agility, flexibility and the scale desired for new application workloads,” he tells Sudhir Chowdhary in a recent interaction. Excerpts:
What are the changes expected in the company in the next one year after the recent news that NTT Communications has bought 100% stake in Netmagic?
It was in 2012 that NTT Communications acquired majority stake in Netmagic Solutions and took it up to 100% stake in 2017. The endeavour for NTT Communications is to provide seamless end-to-end services to global multinational ICT customers. We are headquartered in Mumbai and are India’s leading managed hosting service provider and a specialist in multi-cloud based hybrid IT domain, with nine carrier-neutral data centres and serving more than 2,000 enterprises. We have been growing at a CAGR of over 35% for the last 4-5 years.
With a large chunk of your customers coming from e-commerce companies how do you see your business unfolding?
According to Forrester, with $681 billion in online retail sales in 2016, India is the fastest-growing e-commerce market. Besides e-commerce, Netmagic caters to several verticals, including—media, banking and financial services, manufacturing, IT/ITeS companies amongst others. While there have been sporadic cases of e-commerce companies not performing well, we do not see this as a trend at all. We have been dealing with the unicorns in the e-commerce space, and we do not see any business threat here. We see tremendous growth opportunity coming from—SAP HANA migration, Big Data, Analytics, Artificial Intelligence, Machine Learning and also from the Smart City projects.
Tell us about Cloud Management Platform, how does it help your customers?
Netmagic SimpliCloud customers can access the Cloud Management Platform (CMP) tab in their myNetmagic Portal. Once they do this, they can import their SimpliCloud Infrastructure into the CMP Portal, along with other cloud assets they may have from players like AWS and Azure.
How much percentage growth do you see for cloud and managed services business in India?
We see a huge growth in cloud and managed services business in India. There has been increased adoption of our hybrid cloud, public cloud, VPC (Netmagic’s Simpli VPC) and private cloud. Our overall cloud portfolio is growing more than 50% year-on-year.
With the government’s increased focus on manufacturing, how will it affect the data centre market?
Data centres are an important part of infrastructure and there are several sectors spurring this growth. Government-led initiatives such as Make in India, Digital India, Startup India, and the rollout of the national optic fibre network have created a huge demand for the datacentre business. Emerging technologies like Big Data analytics, software-defined everything and Internet of Things (IoT) have led to an accelerating demand for data centre consolidation and virtualisation.
How does Netmagic differentiate itself from its competitors?
Netmagic focuses on driving consistent operational and service excellence and that is a strong differentiator in the marketplace. We were the first to launch services such as cloud computing, managed security, disaster recovery-as-a-service and software-defined storage. Netmagic delivers remote infrastructure management (RIM) services through NTT Com’s Global Management One service to customers across USA, Europe and Asia-Pacific region. Our business is a combination of multiple businesses—cloud player, end-to-end managed services and co-location services provider for medium, large, very large and global enterprises. To manage this, we also run network operation centres, so the customer gets everything from a single service provider. Our cloud orchestration has been developed in-house enabling us to scale up and bring in new features before any competitor.