In an exclusive interaction with The Catalyst, Piyush Somani, CEO, ESDS Software Solutions Ltd, shares insights on how ESDS is playing a crucial role in transforming Indian government bodies with innovative technologies. As a pioneer in cloud and digital transformation, ESDS is empowering Indian government bodies with innovative, indigenous technology that enhances efficiency, transparency, and data security. From sovereign cloud solutions to AI-driven automation, ESDS is driving the digital revolution in governance, ensuring a self-reliant and technologically advanced India.
How do you perceive the current state of digital transformation within Indian government bodies?
For over the last decade in Indian government bodies, due to the initiatives taken under Digital India, there have been huge levels of traction generated on digital transformation. In 2024, the Unified Payments Interface (UPI) witnessed remarkable growth, processing a total of 172 billion transactions, representing a 46% increase from the 118 billion transactions recorded in 2023. In December 2024 alone, UPI achieved a record 16.73 billion transactions, with a total transaction value of ₹23.25 lakh crore, up from ₹21.55 lakh crore in November. The average daily transaction count in December stood at 539.68 million, highlighting the rapid adoption and integration of digital payments across India. (stats source: Hindustan Times)
The key areas of advancement are that over 1,400 government and private sector services integrated Aadhaar to deliver frictionless identity verification; 100+ Smart City projects came online using IoT, AI, and cloud computing to drive better governance. The use of MeitY’s empanelled cloud service providers by 75% of state governments to drive secure, scalable, and compliant IT infrastructure.
Despite this progress, challenges persist. For example, 45 percent of rural India still lacks adequate internet connectivity, while legacy systems, data silos, and cybersecurity threats all hamper complete transformation. Continued investment in technology, capacity building, and partnerships are expected to continue to strengthen India’s digital governance ecosystem and pave the way for growth that is truly inclusive.
What role does ESDS Software Solution Limited play in helping govt. organizations embrace technology?
ESDS Software Solution Limited has become a facilitator in making all government organizations adapt and implement technology through digital transformation. With the pride of being the very first MeitY-empaneled cloud service provider, it offers cutting-edge, secure, and scalable cloud solutions that meet the mission of the government with its Digital India and Atmanirbhar Bharat vision.
Our flagship offerings, such as the Government Community Cloud (GCC), enable government bodies to host critical applications and databases with unparalleled security and compliance.
Our large customer base includes marquee names like Maharashtra State Electricity Distribution Company Limited (MSEDCL), which uses ESDS to host India’s largest utility database, along with multiple state governments for e-governance solutions. It helps the central and state government by providing end-to-end IT solutions and bringing about modernization in their infrastructure, service delivery, and innovation in public services. The revolutionary iPAS project, has transformed the lives of over 20 million Indians, & manages 9,392 projects annually.
ESDS is a strong advocate of the “Make in India” initiative. How has this philosophy influenced your product development and business strategy?
“Make in India” is not just a philosophy at ESDS but a core pillar in our product development and business strategy. Being an Indian cloud service provider, we have strived to design cutting-edge, indigenous technologies to address the specific needs of Indian enterprises and government organizations.
Our eNlight Cloud platform, designed and developed entirely in India, is a testament to this commitment. Setting a benchmark with our triple-patented auto vertical scaling technology, ESDS is recognized in India, UK, and US. Moreover, our Government Community Cloud, Private, Enterprise and BFSI community cloud are built based on deep knowledge of local regulatory frameworks, thereby ensuring data sovereignty and compliance to support India’s digital growth.
ESDS empowers 2000+ organizations on eNlight Cloud, fostering the Make in India initiative. Strategically, the “Make in India” mantra has forced us to invest heavily in local talent, R&D, and infrastructure. We have created numerous state-of-the-art data centers in India, thereby creating jobs and building technological self-reliance. We are a partner of choice, associated with Indian government bodies and enterprises, on their journey to transform India digitally. This, we believe, would further reinforce our commitment to the Atmanirbhar Bharat vision.
With global players entering the Indian market, how does ESDS plan to maintain its market position and relevance?
ESDS remains uniquely positioned in the Indian market by leveraging its deep understanding of local needs, its commitment to innovation, and its unwavering focus on customer-centricity.
Global players bring scale and resources, but ESDS differentiates itself through the following strategies:
Solutions tailored to the needs of India: eNlight Cloud, colocation services, and Government Community Cloud (GCC) cater to India’s regulatory, compliance, and scalability needs. With a focus on data sovereignty, they align with initiatives like Digital India, ensuring relevance in local markets.
Unmatched Customer Support: ESDS provides 24×7 managed services with a ‘handholding’ approach, which makes us stand out in a market where most global players are pushing for self-service models.
Innovation and Patents: Our patented eNlight Cloud ensures auto-scalability and energy efficiency, reflecting our commitment to innovation. By integrating AI, we enhance analytics, automation, and predictive capabilities for businesses.
Strong Local Partnerships: ESDS partners with Indian enterprises and government bodies, so we are placed as a trusted technology partner for important initiatives like Smart Cities, smart meters, and other public sector projects.
Focus on Sustainability: Energy-efficient data centers and green IT solutions make us an attractive player for organizations keen to align themselves with ESG goals.
The relevance and market leadership of ESDS are maintained by staying grounded in the challenges and opportunities specific to India, while keeping up with the world’s technological developments.
Security and compliance are critical for cloud solutions. How does your organization ensure robust security and adherence to regulatory standards?
Security and compliance are core pillars at ESDS, and we offer cloud solutions. We take a multi-layered approach for robust security, meeting the strict regulatory standards that our customers demand.
Advanced Security Measures: Our cloud platforms use advanced security that integrates IDPS, firewalls, AI-driven threats detection, and end-to-end encryption to provide our clients with the utmost level of cybersecurity as cyberattacks keep evolving.
Meeting International Standards: ESDS follows the best international and domestic standards, like ISO 27001: 2022 (Information Security Management System), ISO 22301: 2019 (Business Continuity Management), CMMI-Maturity 5 DEV v.2.0, and ISO 14001: 2015 (Environmental Management System). Additionally, being a MeitY-empaneled cloud provider, we strictly adhere to all the regulatory guidelines issued by the Government of India on data security and sovereignty.
Data Sovereignty and Localization: Our data centers lie in India and keep sensitive data in-country border limits, aligned with legal compliances such as the Data Protection Bill and sector-specific laws, like RBI guidelines for BFSI.
24×7 Security Operations Center (SOC): The SOC is an in-house facility of ESDS which monitors, detects, and prevents real-time threats. This facility uses AI and machine learning, allowing the system to make proactive cyber-attack defense with lower risks and downtime.
Customer-Centric Compliance: We work closely with our customers to help them comply with industry-specific regulations in sectors such as healthcare, banking, and government. Our audits, compliance reports, and consulting services provide significant added value. Continuous investments in technology, human skills, and processes help ESDS deliver secure, compliant, and reliable cloud to its customers.
How does ESDS’s global expansion plans align with the dynamics of the data centre market?
It justifies the global expansion strategy of ESDS because this is what the changing trends and data center market dynamics want-the need for scalable, energy-efficient, and sustainable infrastructure.
Emerging Markets: Emerging Markets: With the global data center market projected to grow at 10.6% CAGR (2023–2030), ESDS is expanding in emerging markets, providing localized cloud and data center solutions focused on compliance and data sovereignty.
Focus on Sustainability: Focus on Sustainability: With data centers using 1% of global electricity and 0.3% of CO2 emissions, sustainability is crucial. ESDS prioritizes energy-efficient, green data centers through eNlight Cloud, aligning with the projected 15% market share for green data centers by 2025.
Hybrid and Edge Computing: Hybrid and Edge Computing: With the hybrid cloud market set to grow at 17.8% CAGR (2023–2028), ESDS is expanding data centers for hybrid and edge computing, meeting low-latency, high-performance demands in industries like healthcare, finance, and manufacturing.
Technology Innovation and R&D: The cloud infrastructure market will reach $400 billion by 2028. As the market grows, ESDS is investing in R&D and the latest innovation such as AI-powered cloud services, security enhancements, and automation to be competitive and respond to customer needs around the globe.
Strategic Partnerships: A report states that 70% of the enterprises seek local service providers to meet regulatory, performance, and data sovereignty requirements. ESDS wishes to tap such local partnerships to further strengthen our presence to meet the needs of global clients by providing region-specific solutions in line with national and international regulations.
With the expansion plans lined up with these market dynamics in the global space, ESDS will be in a better position to capitalize on increasing demand for sustainable, secure, and high-performance data center solutions across geographies, thus placing it right on the lines of innovation.
Q.7. What challenges do you foresee in the cloud services market, and how are you preparing to address them?
It is changing very rapidly with cloud services. Exciting opportunities come with challenges, and at ESDS, we proactively prepare using a combination of innovation, strategic planning, and robust solutions.
Data Security and Privacy Concerns:
With the advancement of cloud technology and the rise of cyber threats, data security and privacy remain major concerns as businesses transition to the cloud. To ensure data safety and compliance in accordance with continually changing regulatory rules, ESDS has introduced a multi-level security framework- AI-based detection, encryption, and a dedicated 24×7 Security Operations Centre (SOC). We are strictly compliant with worldwide and local level regulations such as ISO 27001 and GDPR.
Data sovereignty and compliance with regional laws
With the increasing new data localization and sovereignty regulations across the world, following compliance while operating in multiple geographies holds a significant importance. To build up this capability, we at ESDS have an expansion plan of our data centers in India and strategic international locations. This way, we could make sure that data complies with a country’s rules and give confidence to customers that their data is being stored in-country or in a more secure localized area.
Scalability and Cost Efficiency:
Cloud customers want scalable solutions, which are performance-intensive yet cost-effective. In hybrid and multi-cloud environments, the management of resources becomes very complex due to the handling of multiple platforms. Here, ESDS is well poised with its patented eNlight Cloud platform offering auto-scaling capabilities along with the optimization of usage of resources that ensure cost effectiveness without performance trade-offs.
Skill Gap and Talent Shortage:
There is a rising demand for cloud expertise, and there are talent shortages in cloud architecture, AI, and cybersecurity. At ESDS, we are investing in the training and upskilling our internal teams and working with local educational institutions to nurture the next generation of cloud professionals. We are also developing intuitive and user-friendly platforms that reduce the skill barrier for customers adopting cloud solutions.
Vendor Lock-in and Interoperability:
Another concern in the minds of customers is becoming locked into an ecosystem of one vendor. As a solution to that, ESDS is developing hybrid and multi-cloud solutions that ensure interoperability with other major cloud platforms. Therefore, our customers can choose whatever best combination of services that meets the needs of unique businesses without staying tied to just one provider.
AI and Automation Integration:
Integrating AI and automation into cloud services presents both opportunities and challenges. Businesses are constantly seeking ways to automate processes and leverage AI for decision-making. This drives our continuous improvement efforts in cloud solutions, enabling the integration of advanced AI features into intelligent cloud systems. These systems empower customers to maximize automation for enhanced performance and efficiency.
ESDS is committed to being a leader in the cloud services market, while helping its customers thrive in the digital future, by directly tackling these challenges with innovative solutions, strategic investments, and a customer-first approach.
In this conversation, Somani shares key insights related to the future of India’s digital governance landscape. India is rapidly advancing towards a digitally empowered future, with government bodies embracing best technology practices to enhance efficiency, security, and transparency. As indigenous tech innovators like ESDS Software Solutions continue to drive digital transformation, India is set to become a global leader in smart governance and public sector innovation.
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