The intersection of AI, blockchain, and cloud computing: Unlocking new business models
Artificial intelligence (AI), blockchain, and cloud computing is changing how businesses operate. These innovations, working together, are reshaping industries, and opening up new ways for companies to grow, scale, and compete. In India, the rapid growth in AI, blockchain, and cloud computing reflects how these technologies are driving transformation across sectors—from finance to healthcare, retail, and beyond. For businesses, this convergence offers not just an upgrade in processes, but a whole new range of opportunities to create value and explore new markets.
AI Driving Business Change
Artificial intelligence has rapidly evolved from a futuristic concept to a core component of modern business strategies. In India, AI adoption is accelerating at an impressive pace, with the market growing at a compound annual growth rate (CAGR) of 25-35%. According to a report by Boston Consulting Group (BCG) and Nasscom, India’s AI market is projected to reach approximately $17 billion by 2027. This growth is fueled by the increasing reliance on AI-driven solutions that enhance decision-making, optimize operations, and deliver personalized experiences.
AI is no longer just an enabler but a key driver of competitive advantage. A study by Forbes found that 84% of respondents believe AI will help their organizations obtain or sustain a competitive edge, while 75% stated that AI would allow them to venture into new businesses. These figures underscore AI’s role in shaping the business models of the future, with 69% of respondents expecting their competitors to use AI to gain a strategic advantage within the next five years. Furthermore, 63% indicated that cost pressures would compel their organizations to integrate AI solutions into their operations by 2029.
As businesses increasingly adopt AI, its impact on sectors such as healthcare, finance, and retail is profound. In finance, AI-powered algorithms are being used to detect fraudulent activities, while in healthcare, AI-driven diagnostics tools are enabling faster and more accurate treatment plans. Retailers, too, are using AI to anticipate consumer needs and improve supply chain efficiencies. This growing adoption is propelling businesses toward new models of operation that are leaner, smarter, and more responsive to market dynamics.
Blockchain for Trust
Blockchain technology, known for its potential to create secure and transparent systems, is revolutionizing how businesses manage data and transactions. In India, the blockchain market has seen a remarkable surge, growing from $0.28 billion in 2019 to an anticipated $4.3 billion by 2025, with a CAGR of 47.3%, according to a report presented at the Entrepreneur Web3 Summit in Bengaluru.
Blockchain is often seen as a technology with the capacity to transform industries at their core. From supply chain management to financial services, it offers a decentralized system that enhances security, reduces the need for intermediaries, and increases transaction speeds. The World Economic Forum (WEF) predicts that by 2025, blockchain could account for 10% of global GDP, while McKinsey & Co. forecasts it could generate $3 trillion in business value annually by 2030.
In sectors like logistics, blockchain has the potential to create tamper-proof records that ensure authenticity and traceability. For instance, tracking goods from their origin to the final destination becomes seamless, reducing fraud and improving efficiency. Financial institutions are also leveraging blockchain to facilitate faster cross-border transactions while ensuring the security of digital identities and transactions.
The decentralized nature of blockchain allows for greater transparency, which is critical for industries like healthcare, where maintaining secure patient records is paramount. By integrating blockchain, healthcare providers can store data more securely and ensure that it remains accessible to authorized personnel, improving patient care and trust.
Cloud Computing for Growth
As organizations seek more scalable and flexible solutions, cloud computing has become a cornerstone of modern IT infrastructure. India’s public cloud services market is expected to reach $17.8 billion by 2027, with a CAGR of 23.4%, according to International Data Corporation (IDC). Cloud computing allows businesses to access data, applications, and services over the internet, eliminating the need for physical infrastructure and enabling on-demand scalability.
The flexibility that cloud offers has made it a preferred choice for businesses looking to optimize their IT operations. Research by Gartner predicts that by 2025, 85% of firms globally will adopt a cloud-first strategy, while 60% of all corporate data is expected to be stored in the cloud. This shift is driven by the need for greater agility, reduced costs, and the ability to quickly adapt to changing market conditions.
For small and medium-sized enterprises (SMEs), cloud computing provides a level playing field, offering access to advanced technologies without the need for significant upfront investments. By leveraging cloud services, businesses can scale their operations based on demand, ensuring they only pay for the resources they use. This model has become especially relevant in the post-pandemic era, where remote work and digital transformation have become the norm.
Cloud computing also facilitates collaboration, allowing teams to work together in real-time, regardless of geographical locations. This has been a game-changer for industries like education, where cloud-based learning platforms have enabled seamless transitions to online learning during the pandemic. Similarly, businesses in the retail sector are using cloud solutions to manage inventory, sales, and customer interactions, enhancing their ability to serve customers effectively.
New Business Models
The convergence of AI, blockchain, and cloud computing is not just reshaping existing business processes but also unlocking new models that were previously unimaginable. These technologies, when combined, create a powerful ecosystem where data can be securely stored, analyzed, and used to drive insights that lead to innovation.
For example, AI-powered blockchain systems can improve supply chain transparency by predicting potential disruptions and offering real-time insights into inventory levels. Cloud computing, in turn, ensures that businesses can access this data from anywhere, enabling them to make informed decisions quickly.
Moreover, AI and cloud solutions are facilitating the growth of subscription-based business models. Companies no longer need to invest heavily in physical infrastructure or software; instead, they can access cutting-edge technologies through cloud platforms, paying for what they use. This shift has democratized access to technology, allowing even smaller players to compete with larger enterprises.
However, to fully realize the potential of these technologies, organizations must focus on developing the necessary skills within their workforce. An EY report found that 28% of organizations believe they need to revamp the tech skills of a third of their workforce by 2025 to remain competitive. Yet, only 19% of organizations have established a skill taxonomy, highlighting a gap that needs to be addressed to sustain innovation and growth.
AI, blockchain, and cloud computing are opening up new ways for businesses to grow and compete. These technologies are not just making things more efficient—they are creating new ways to do business.
