An increasing number of businesses are moving their payment infrastructure to the cloud. The cloud, as experience and time have proven, provides complete utility, immediate scalability, and quick ways to lower an organization’s total cost of ownership (TCO). This makes it ideal for smaller businesses like start-ups, fintech, and providers of payment services.
Larger businesses are beginning to see the advantages of moving to the cloud. They now have convenient options to update or replace outdated hardware security module (HSM) infrastructure thanks to cloud migration. Hybrid deployments, which combine cloud infrastructure with on-premises hardware, can power applications and businesses that encounter sudden, unforeseen spikes in demand.
Organizations profit from the versatility of cloud HSM solutions, both in terms of the way they can be implemented and the variety of use cases they satisfy, in addition to cost savings and improved scalability. Recognizing this, providers of enterprise data security solutions have set up data centres in prime locations all over the world, including South Asia. Because of quicker data processing and transaction speeds, these data centres give consumers a competitive edge.
There are variations in the adoption of cloud services in terms of various markets and regions. For instance, India is well known as one of the global fintech hubs, home to thousands of start-up businesses serving the global market. Many of this fintech must process transactions and secure keys, but they are unable to deploy on-premises HSM infrastructure.
This is especially true for smaller or more recent businesses that look to cloud solutions to effectively and affordably meet their needs.
The relative dearth of local cloud solutions is a common barrier to cloud migration. Similar to many other countries, India has established stringent compliance standards that demand that data be processed and stored within national borders. These difficulties have naturally caused a cautious approach to cloud adoption. This is particularly true for larger companies with proportionately higher capital projects. To those who adopt it, cloud encryption technology nonetheless keeps demonstrating its value.
Leading international providers of enterprise data security solutions are increasing their data centre presence in response to the rise in demand for local cloud solutions. Through their regional experts in the south Asian region, they are able to provide customers with solutions that are not only simple to deploy and manage but also assist them with their specialized needs. As a result, local cloud solutions are becoming more widely available and corporate adoption is increasing. In addition, this offers a better ROI than an on-premises setup while still meeting compliance requirements like international standards PCI.
Currently, BFSI leads the market adoption of data encryption technologies in India with a 40% share, followed by the government, telcos, and enterprise sectors with 30%, 20%, and 10%, respectively. Cloud HSM infrastructure may very well become standard if this trend keeps up. In fact, with the national compliance standards established by the NPCI, RBI, UIDAI, and CERT-In, India appears to be getting ready nationally for such trends. If this occurs, businesses will be able to expand their service offerings in novel ways, which is likely to spur even greater levels of innovation.