Predictions for 2023: Migration to Cloud, Deregulations and 5G

Publication: DataQuest online 

Spokesperson: Anil Kumar, SVP and Head of Engineering, Exotel


Bengaluru, India, Nov 23, 2022: Accelerated digital transformation and deregulatory initiatives are revolutionising how India Inc. handles its communications. 2023 will see major sectors of the economy adopt cloud communications tools en masse, bolstered by ease of doing business and advancements in 5G. 

Prediction 1: Traditional sectors of the economy will migrate their operations completely to the cloud

The COVID-19 pandemic has created demand for cloud-based communication tools, especially cloud contact centres, to accommodate remote working. Internet-first companies such as in the e-commerce space are more adept at adopting cloud-based solutions for customer engagement at a larger scale. However, in the near future, we will also witness companies from traditional sectors like BFSI and manufacturing, migrate their operations completely to the cloud. 

Prediction 2: 2023 and this upcoming decade will see deregulations to promote migration of business processes from on premise to the cloud

The ease of procuring a Virtual Network Operator (UL VNO) licence highlights a breakthrough for the telecommunications industry in the country and other emerging markets. Government initiatives such as these are crucial for the growth of cloud communication adoption on a massive scale. Driven by the growth of data centres, India and China are leading cloud adoption in the APAC region, according to a report by Forrester.

The report also found that 67% of Indian decision-makers in the Indian IT industry are making it their top priority to modernise business processes with architecture hosted on the public cloud. However, currently on the global cloud rank, India ranks 51 of 76 nations. To change this notion and pave the way for the growth of this space, the coming couple of years would prove crucial for India. 

Prediction 3: 5G will revolutionise the Indian telecommunications sector

With telecom companies rolling out 5G, the latency is likely to reduce significantly from 200 milliseconds in 4G to 1 millisecond using 5G, along with the increased capacity to manage large network traffic. These two factors hold significance for cloud suite providers, especially in the communication space as latency is an important factor in communications.

The rollout of 5G will open up the opportunities for IP based calling as an OTT service. The improvement in the ‘core network’ is likely to result in enhanced functionality of cloud-based customer service companies, and we can hope for a full-scale global expansion for them.


About Exotel

Exotel is the emerging market’s leading full stack customer engagement platform and business-focused virtual telecom operator. Incorporated in 2011, Exotel’s world-class cloud-based product suite powers 50 million engagements daily for over 6000 companies in India, SE Asia, the Middle East, and Africa. Today, some of the fastest-growing companies in the emerging markets (Ola, Swiggy, Flipkart, GoJek, Byju’s, Urban Company, HDFC Bank, Zomato, Oyo, etc.,) manage their customer engagement with Exotel’s omnichannel contact centre, a suite of communication APIs and conversational AI platform over the cloud. They’re a $100 million Series D funded company with $50 million in ARR.

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