Indonesia is actively adopting cloud-based technology during pandemic according to survey

Alibaba Cloud Feb 4, 2021

77% of businesses in Indonesia are currently using cloud-based IT solutions, and 83% believe that cloud-based tools help them cope with their business needs during Covid-19
• 64% of businesses in Indonesia felt a hybrid cloud approach was key to supporting their disaster recovery or business continuity strategy.
• Confidence about technological innovation originating in Asia has remained high from before the pandemic throughout its impact.

04 February 2021, Indonesia - A survey commissioned by Alibaba Cloud, the digital technology and intelligence backbone of Alibaba Group, revealed that Indonesia is actively embracing the adoption of cloud-based technology, where 77% of businesses in Indonesia are currently using cloud-based IT solutions, and 83% believe that cloud-based tools help them cope with their business needs during Covid-19.

Over 1,000 participants from Hong Kong, Malaysia, Singapore, India, Indonesia, and the Philippines responded to the survey, which was conducted in late 2020 by an independent research organization to understand the role of cloud solutions and confidence in Asian innovation among the business community.

According to the survey, 67% of Indonesian businesses adopted more cloud-based IT solutions during the pandemic. Moreover, 64% of surveyed Indonesian businesses see hybrid cloud solutions as critical to their longevity, as a hybrid cloud approach supported them in disaster recovery and business continuity planning.

"We're so excited to see the strong and ever-rising demand of cloud adoption in Indonesia. We have been introducing cloud-native proprietary technology to the market over years, such as PolarDB, AnalyticDB, and Alibaba Cloud Container Service for Kubernetes. Moving forward, we are planning to introduce more leading technologies and hybrid cloud solutions customized for different industries in the market to accelerate customers' digital transformation demands in 2021," said Leon Chen, General Manager at Alibaba Cloud Intelligence Indonesia.

Considering the increasing demand for hybrid cloud solutions in Asia, Alibaba Cloud Indonesia revamped its strategy in December 2020 and launched a Hybrid Cloud Partner Program to upgrade its product offerings. The aim is to help businesses, especially small- and medium-enterprises (SMEs), digitally transform their operations and capture the public cloud’s highly elastic, scalable and accessible benefits while at the same time continue to support them with their private cloud needs.

The priorities of cloud vendor consideration are evolving

Before the pandemic, 77% of businesses in Indonesia reported that a solution’s ability to integrate well with existing solutions/IT infrastructure, and security credentials (62%) were the two most important factors in the decision to choose a cloud vendor.

After the pandemic, security credentials remained as one of the most important consideration among Indonesian businesses when deciding to partner with a cloud vendor (64%), indicating the ever- growing importance of cyber security, especially as companies expand their digital footprint online.

Regional cloud providers enjoy a positive perception

The survey also found that the perception of cloud-based regional service providers is very positive. In Indonesia, 68% felt that Asian technology providers can deliver better products because of a better understanding of the Asian mindset. In particular, 57% Indonesian businesses believe that Asian innovation leads in fintech, including payments and blockchain, while 49% surveyed businesses in Indonesia trust Asia also leads in Internet of Things.

Reinforcing these findings, 73% of businesses in the region are confident that Asia will be the main economic driver for the 21st century, with well over half (65%) of businesses having reported that they have already adopted a solution from a provider originating from Asia.

“It is very encouraging to see the high level of confidence in Asian innovation among businesses in the region. With digitalization so strong a trend, especially on the back of the pandemic, we believe there will be many new opportunities to build on the strong perception of the region’s cloud capabilities,” said Selina Yuan, President for International Business, Alibaba Cloud Intelligence.

The survey also found that the perception of cloud-based service providers is very positive. A substantial majority (84%) of the respondents in Asia agree that cloud-based service providers deliver on their promises. In addition, hyperscale cloud providers were discovered to be preferred over global enterprise tech consultants, local third-party partners and in-house teams by 43% of Asian businesses.

But respondents also revealed that they have more confidence in MNC (Multi-National Company) cloud solutions compared to regional ones, suggesting that Asian cloud service providers still have barriers to overcome if they are to realize the full potential of the region’s digitalization.

For inforgraphic of the release, please visit: https://www.alibabacloud.com/blog/infographic-indonesia-actively-adopting-cloud-based-technology-during-pandemic_597287

About the survey

“The Role of Cloud in Asia and Confidence in Asian Innovation Survey” was commissioned by Alibaba Cloud and conducted by an independent research organization to obtain a better understanding of how regional businesses are feeling about using cloud solutions as well as viewing local innovation. More than 1,000 businesses from six areas across Asia, including Hong Kong, Malaysia, Singapore, India, Indonesia, and Philippines, participated in the survey by answering a questionnaire distributed in November 2020.

About Alibaba Cloud

Established in 2009, Alibaba Cloud (www.alibabacloud.com),the digital intelligence and technology backbone of Alibaba Group, is among the world’s top three IaaS providers, according to Gartner. It is also the largest provider of public cloud services in China, according to IDC. Alibaba Cloud provides a comprehensive suite of cloud computing services to businesses worldwide, including merchants doing business on Alibaba Group marketplaces, start-ups, corporations and public services. Alibaba Cloud is the official Cloud Services Partner of the International Olympic Committee.

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