Regulatory-induced Challenges Create Hurdles to Cloud Adoption for Financial Services Firms

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The financial services industry is evolving at a rapid pace, with shifting consumer expectations, new technologies, and developing regulatory requirements. Financial services firms need the right technology to help them stay agile and prepare for the future.
The cloud is a key point of leverage for firms looking to improve performance across a broad range of activities. Moving to the public cloud can advance operational resiliency, improve staff productivity, increase regulatory compliance and enhance business model innovation.
However, there are a number of financial services companies that are still hesitant in their cloud journeys. The barriers to adoption vary, from the complexity of legacy systems, to trust and skills gaps, regulatory uncertainty, and fragmentation of compliance requirements. Although many companies have embraced the benefits of cloud technology, more robust cloud adoption—especially around core back-office functions—will require additional facilitation, including through regulatory harmonization and streamlining.
A new comprehensive study on cloud adoption in financial services
To better understand the challenges and opportunities of cloud adoption in financial services Google Cloud, together with the Harris Poll, surveyed more than 1,300 leaders from the financial services industry across the United States, Canada, France, Germany, United Kingdom, Hong Kong, Japan, Singapore and Australia.
There were five noteworthy takeaways from the study:
1. A vast majority of financial services companies are already using some form of public cloud. A large number of surveyed financial services companies (83%) report they are deploying cloud technology as part of their primary computing infrastructures. Of those using cloud technology, the most popular architecture of choice is hybrid cloud (38%), followed by single cloud (28%), and multicloud (17%). Notably, of respondents without a multicloud deployment, 88% reported they are considering adopting a multicloud strategy in the next 12 months.

2. Financial services institutions in North America are leading in cloud adoption. Of the financial services companies who are implementing a cloud strategy, the highest levels of cloud workload adoption were reported in North America, with institutions in the U.S. (54%) and Canada (52%) leading the way. The lowest level of cloud adoption was reported in Japan (42%).

3. As financial services companies continue to use the cloud, more core functionalities can and will be migrated. While many financial services companies have migrated substantial workloads to the cloud, the industry is far from full adoption when it comes to core, back-office workloads. Of financial services companies currently using a majority cloud strategy in the United States, for example, only half (54%) of their workloads are fully deployed in the cloud. Data and IT security (74%), regulatory reporting (57%), and fraud detection and prevention (57%) rank among the highest workload adoption. Core underwriting activity (40%) and data reconciliation (48%) ranked lowest. Across Europe, cloud usage for core activities like underwriting also scored low with the UK listing only 30% adoption.
4. Among respondents, there is a very strong positive perception of the potential for cloud technology to assist in business operations and regulatory compliance. Nearly all respondents (>88%) agreed that cloud adoption can:
- help adapt to changing customer behaviors and expectations,
- enhance operational resilience,
- support the creation of innovative new products and services,
- enhance financial services institutions’ data security capabilities, and
- better connect siloed legacy software infrastructure within financial services institutions.
5. Certain regulator-induced challenges, including the complexity of sectorial compliance frameworks and fragmentation, create hurdles to cloud adoption for financial services companies. While 88% of respondents had a positive view of current regulatory efforts to provide guidance and clarity for cloud implementation, the results showed that more needs to be done to facilitate adoption. Most respondents (84%) agree that regulatory reviews and approvals take too long because of regulatory fragmentation across regulatory bodies. And 78% say that regulatory uncertainty over the use of public cloud prevents their organizations from adopting cloud technologies that would otherwise provide benefit to them. Additionally, a third of all on-premises respondents (38%) say that the large investment of resources for the regulatory approval process is a reason why they’re not using cloud services.
“While many banks have already deployed hybrid cloud environments, others are still in various stages of planning and deploying,” said Jerry Silva, research vice president for IDC Financial Insights. “Clearly, hybrid infrastructure is a reality, and financial institutions must focus not only on leveraging the modern infrastructure model to gain efficiencies, resilience and agility, but also on taking the necessary steps to manage such environments, including the security and compliance of cloud services.”
Future recommendations for financial services regulators
Financial services firms should continue to maximize the potential of technology by migrating more core workloads to the cloud, and actively considering multicloud and hybrid-cloud strategies. Such strategies enhance resiliency of existing IT infrastructure and reduce concerns over vendor lock-in.
The research also points to steps that regulators could take to provide additional clarity and guidance, such as aligning regulatory reviews across agencies to avoid fragmentation; developing regulatory “safe harbors” for cloud adopters based on adherence to accepted standards and best practices; training regulatory staff on emerging tech; and advancing data reporting requirements via cloud and related technologies.
In the past few years, many regulators across the globe have taken a robust approach to rationalizing rules and guidance to cloud adoption in the financial sector, which has helped significantly stimulate adoption. But further assurances and harmonization of best practices around supervision is needed to advance risk-based and secure digital innovation.
At Google Cloud, we’re committed to working with financial services customers and regulators to provide them with controls and assurances on risk management, data locality, transparency, and compliance. We are constantly engaging with regulators to share information, respond to their considerations and concerns, and address questions in the interest of transparency and building trust.
To learn more about these findings and more, download our infographic and our full report.
Research methodology
The survey was conducted online by the Harris Poll on behalf of Google Cloud, from December 7, 2020, to January 4, 2021, among 1,363 senior executives in France (n=113), Germany (n=178), the UK (n=192), Hong Kong (n=99), Indonesia (n=100), Japan (n=142), Singapore (n=71), Australia (n=134), Canada (134), and the United States (n=200) who are employed full-time, part-time, or self-employed whose main functional role is in risk/compliance or IT at a company in the banking, finance, or financial services industry with a title of director level or higher. The data in each country were weighted by the number of employees to bring them into line with actual company size proportions in the population. A global post-weight was applied to ensure equal weight of each country in the global total.
Manipal Group: Delivering High-Quality Patient Care with Google Cloud

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One of India’s best-known healthcare brands, Manipal Group prides itself on clinical excellence and a patient-centric approach. From humble beginnings in 1953 as a single teaching hospital—the Kasturba Medical College—in a university town in Karnataka, India, Manipal Group has grown to a presence in seven cities in India and operations in Malaysia and Nigeria. “Our founder, Dr T. M. A. Pai, established Kasturba Medical College just six years after India gained independence,” says C. G. Muthana, Chief Operating Officer, Teaching Hospitals, Manipal Health Enterprises Pvt. Ltd, part of Manipal Group.
Manipal Health Enterprises Pvt. Ltd operates 11 corporate, or for-profit, hospitals and five teaching hospitals. “We have about 7,000 beds India-wide, and on that measure, we are the third-largest private-sector healthcare provider in India today,” says Muthana. The organization now employs about 6,000 people in its corporate hospitals and 5,000 people in its teaching hospitals.
Manipal Health Enterprises Pvt. Ltd acquires and operates world-class medical technologies in its teaching and corporate hospitals. However, with 75% of corporate hospital wards allocated to fee-paying private patients—compared to just 25% of the wards in teaching hospitals—the differences in information technology budgets are significant. “In the general wards that comprise most of the wards in teaching hospitals, patients are typically treated for free or at heavily subsidized rates,” explains Muthana. “So revenues and costs of delivery vary between hospitals, while employee costs remain similar.”
Rostering nurses a critical task
Rostering nurses to work shifts is one of the most important tasks at Manipal Group corporate and teaching hospitals. As at all hospitals, nurses administer medications, monitor patients, maintain records, manage intravenous lines, and work with doctors to heal patients. They can also provide advice and support to patients and loved ones, including teaching them how to administer medication outside a hospital setting. If too few nurses are rostered for a particular shift, the quality of patient care may suffer.
Google Cloud results
- Enabled the hospital to correctly size its nursing workforce
- Lowers stress on nurses by delivering more equitable rostering
- Presents opportunity to better manage nurses’ leave and other administration tasks
However, rostering at the group’s hospitals was a time-consuming exercise. Senior nurses on each ward would have to spend up to 45 minutes per day manually amending paper-based rosters to accommodate requested changes to duty shifts for personal or other circumstances. The organization began receiving complaints from patients, doctors, and other hospital staff that, on occasion, too few nurses were rostered on for certain shifts—particularly at its flagship hospital in Bangalore. “We had based our rostering calculations on the number of beds occupied by patients and, when we investigated, we found at a macro level, we were rostering on the correct number of nurses,” says Muthana. “However, on some days, on wards optimally staffed by, say, 10 nurses per shift, we might have 14 nurses rostered on for one shift and seven rostered on for another shift. Those times we had seven, we had a clear shortage.”
In 2012, Muthana asked a consultant to develop algorithms to help automate the rostering. “Unfortunately, there were so many variables, the consultant failed to solve the problem,” he says. The Chief Operating Officer’s next step was to ask the founder and Chief Executive Officer of predictive analytics business Retigence Technologies—already working with the business on a materials management project—to develop an application to manage rostering.
Removing the daily drudgery
“Our plan with the automation project was to relieve our senior nurses of the daily drudgery of amending the rosters and to deliver rosters that were as fair as possible to all our staff,” says Muthana. “We also saw an opportunity to reduce our costs by reducing the overall number of nurses needed to look after our patients.”
Retigence Technologies’ team members then worked with the group’s nurses to capture the variables and requirements for the project. For example, a minimum number of nurses with one year experience or more needs to be rostered on for each shift. Retigence Technologies then started building an application using compute resources available through Compute Engine, a Google Cloud product. “We selected Google primarily because of its pioneering work in artificial intelligence (AI) and machine learning,” says Srinibas Behera, founder and Chief Executive Officer of Retigence Technologies.
With the nurses rostering application developed, Manipal Health Enterprises Pvt. Ltd undertook several pilots to build user acceptance. “Some of our senior nurses took time to accept the fact automation removed their control over rostering assignments, but were finally convinced by the better transparency the product offered,” says Muthana. The organization deployed the application to a smaller hospital and secured user support before rolling out the application to its Bangalore flagship.
Eliminating stress
Deploying the application has enabled Manipal Health Enterprises Pvt. Ltd to remove a buffer of about 100 nurses retained to accommodate the variations in number of nurses rostered for individual shifts. “The savings on those salaries more than paid for the cost of developing the application,” says Muthana.
The application also enabled the organization to reduce the stress on nurses—both the nurses in charge of the rosters and the nurses subject to the rosters. “Night shifts were more equitably distributed among the nurses, while we have been able to reduce the 45 minutes per day required to amend rosters to just 10 minutes,” says Muthana. “In Bangalore alone, we have 51 nurses in charge of rostering—so the combined saving there equates to nearly 30 hours per day.” This is freeing up these senior nurses to complete more important tasks.
The application was subsequently implemented at Kasturba Hospital, Manipal, again reducing the time needed to generate complete nursing rosters to less than 10 minutes.
Managing leave and training
The organization now plans to extend the application to manage leave and training for its nurses and other employees. “I would like to see every employee given an annual leave plan that is added to the roster at the start of the year,” says Muthana. “The flexibility and control afforded by the application would enable us to address challenges such as managing leave across a workforce with high attrition rates.” The organization would also be able to create a calendar to ensure nurses receive all their required training.
“We also plan to keep fine-tuning the application to deploy nurses more efficiently and continue to reduce their stress levels,” adds Muthana. “We also want to create a nursing load indicator tailored to patients’ specific circumstances. For example, a sedated patient may not require much nursing care, whereas a patient who comes in with a broken leg and may be on a ventilator may require assistance from three nurses at once.” The business plans to use Google’s AI and machine learning APIs in the future to improve the value and user experience of the product.
A New Milestone: Istio Comes Closer to Cloud-native Ecosystem

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Today we are excited to announce that Google and the Istio Steering Committee have submitted the Istio project for consideration as an incubating project within the Cloud Native Computing Foundation (CNCF). This is a significant milestone for Istio and its community, and we are thrilled to reach this next step in the evolution of the project.
Google and Istio
Google originated the Istio project, which alongside Kubernetes and Knative, is a critical part of cloud-native infrastructure. The Istio project has found success and maturity in its current model — being adopted by hundreds of organizations and bringing in over 4,000 developers for IstioCon.
For over 20 years, Google has helped shape the future of computing with its open source contributions and has invested deeply to unlock innovation for our customers. Istio extends Kubernetes to establish a programmable, application-aware network using the Envoy service proxy. Istio works with both Kubernetes-based and traditional workloads, and brings standard, universal traffic management, telemetry, and security to complex deployments. Finding a home in the CNCF brings Istio closer to the cloud-native ecosystem and will foster continuing open innovation.
The Istio journey
We started to develop Istio in partnership with teams at IBM and Lyft in 2016 based on patterns that were being used to connect Google production applications. Google’s security focus complemented the traffic management focus of an open-source project published by IBM, and those two teams decided to collaborate on Istio directly. Istio was launched “fully formed” in May 2017, with the v0.1 release featuring sidecar-powered traffic control, observability and policy features — the things that today define a service mesh. Istio has been open source from the beginning, and has a governance structure that promotes continuous contribution and project engagement.
By the release of v0.3 a few months later there were users trusting it in production, seeing immediate benefits from its powerful features. The project reached v1.0 in July 2018, and was being used at scale by eBay and The Weather Company. Google led a major re-architecture with the release of v1.5, unifying the control plane into a single service. This change, based on user feedback, reduced administrative overhead, as was later written about in the IEEE Software journal. We also greatly simplified extensibility of the mesh by building support for WebAssembly plugins into Envoy.
Istio is now offered as a managed or hosted service by over 20 providers, including Anthos Service Mesh, a suite of tools that helps you monitor and manage a reliable service mesh on-premises or on Google Cloud.
The future of Istio as a project in the CNCF
At Google, we believe that using open source comes with a responsibility to contribute, sustain, and improve the ecosystem, and we are committed to improving critical cloud-native projects on behalf of our customers and the community at large. Google has made over half of all contributions to Istio and two-thirds of the commits, as measured by the CNCF DevStats.1 After deciding to adopt Envoy for Istio, Google rose to be Envoy’s number-one contributor.2
Istio is the last major component of organizations’ Kubernetes ecosystem to sit outside of the CNCF, and its APIs are well-aligned to Kubernetes. On the heels of our recent donation of Knative to the CNCF, acceptance of Istio will complete our cloud-native stack under the auspices of the foundation, and bring Istio closer to the Kubernetes project. Joining the CNCF also makes it easier for contributors and customers to demonstrate support and governance in line with the standards of other critical cloud-native projects, and we are excited to help support the growth and adoption of the project as a result.
Istio is key to the future of Google Cloud and if the project is accepted, Google will continue to strategically invest in Istio as a key maintainer and through ongoing investment in engineering for upstream contributions.
1. https://istio.teststats.cncf.io/d/5/companies-table?orgId=1
2. https://envoy.devstats.cncf.io/d/5/companies-table?orgId=1
How Rustomjee Increased speed, agility, and worker mobility with Google Cloud Platform

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Operating for 23 years, Rustomjee has carved a niche for itself in the ever-growing real estate sector. Rustomjee’s portfolio includes 14.32 million square feet of completed projects; 12 million square feet of ongoing development; and another 28 million square feet of planned development. These projects span the best locations of the Mumbai Metropolitan Region. Rustomjee adds value to the lives of its homeowners through its core business, its corporate social responsibility initiatives, and its philanthropy. The business strives to ensure that every blueprint includes child-friendly spaces for parks, playgrounds, and learning rooms, encouraging families to spend quality time with each other.
In the 17 years Rustomjee’s Corporate Head of Information Systems, V M Samir, has worked with the business, it has grown from 100 employees to more than 800 employees – primarily professionals such as engineers, architects, lawyers, accountants, and regulatory consultants. The remainder work in marketing, sales, administration, security, human resources, and other associated areas.
Historically, Samir says, the real estate industry globally has lagged in embracing new workplace technologies, making building business cases, securing sponsorship, completing implementations, and encouraging adoption a difficult task.
G Suite powers cloud journey
Rustomjee started operations running an on-premises email service. However, the business wanted to upgrade its anti-spam capabilities and, in 2007, turned to G Suite. “There was no practical way I could build an anti-spam engine within that service that could match the power of the G Suite anti-spam engine and the intelligence held within its databases,” says Samir. “Our second key reason for moving was the lower cost of G Suite relative to an on-premises service that required us to spend on compute, backup, storage, and administration resources. Running G Suite would also help ensure users could still access their emails if their machines experienced an outage.”
Finally, G Suite enabled Rustomjee to access and compose emails from any location – a luxury for a real estate organization whose workers often attended construction projects with poor connectivity. “Finally, G Suite was the only service in those days that integrated calendar, meeting, and storage repositories through single sign-on. Google was so far ahead of the curve at that time and we saw the potential of G Suite to transform our communications and ultimately our business.”
“We did not have to shut down the business operations during the migration because Google Cloud Platform complemented every idea we had. And when my business users came to work on the Monday morning [after the final migration], everything was stable and the performance had improved. We told them our infrastructure had changed and they should start thanking Google Cloud!”
—V M Samir, Corporate Head, Information Systems, Rustomjee
The business started its cloud and IT modernization journey by decommissioning its on-premises email servers and using G Suite for Business. It began testing in March 2007 and went live with all production email services for 500 users in June 2008.
The intuitive nature and ease of use of G Suite made the transition seamless. “I did not have to undertake a large-scale change management exercise,” says Samir. “Users bought into the program and acquired the necessary knowledge quickly, meaning our adoption rate was extremely fast.”
With G Suite, email became the new norm to complete a range of tasks at Rustomjee. “We started exchanging CAD drawings, videos, high-resolution images, and other large files with our consultants,” says Samir. “These files had been difficult to store in on-premises environments.”
Rustomjee has improved collaboration and performance with G Suite, primarily due to four services. Gmail enables workers to communicate seamlessly externally and with each other, while Calendar enables them to set up and synchronize meetings. These meetings can be conducted through Hangouts Meet. “If a group of people internally need to discuss a work order or contract, they can coordinate calendars, sit at different locations within our organization, and collaborate using audio and video on a common service,” says Samir. “They can also work from and update a single document in Drive.”
With email and other collaboration applications running smoothly, Rustomjee saw an opportunity to enhance its technology infrastructure. The business had started operations running workplace applications on servers in small air-conditioned rooms. These servers ran databases and applications that sent data across a network to endpoints including desktops and laptops.
Expansion and the changing demands of workplace technology prompted Rustomjee to upgrade its capabilities, and the business commissioned a data center. However, Rustomjee’s continuously fast-growing compute and storage requirements, as well as the need to access new technologies to innovate and compete, quickly strained its technology model. “We required eight weeks each time we needed to add new compute and storage to our environment,” says Samir. “In addition, the heavy investments in our captive data center meant we were unable to easily leverage new technologies and decommission old technologies.”
Public cloud supports growth
Rustomjee reviewed its options and decided public cloud services could best meet its ongoing needs. “The rising cost of maintaining old hardware would force us to refresh data center technologies every five to seven years,” says Samir. “More broadly, a hardware-defined data center could not adapt quickly in the cloud-computing world, making it difficult to align compute with growth.”
The business started by moving its corporate website and microsites to a public cloud service to accommodate increased traffic delivered from a change in business strategy. “We saw an opportunity to shift our marketing and advertising from print advertising to digital platforms,” says Samir. “We wanted to be available to buyers from the point at which they start looking at properties online.”
However, Rustomjee’s digital marketing teams found it difficult to scale instances in line with demand, and work with complex user administration screens and control panels.
“With Google Cloud Platform, we’ve achieved a considerable reduction in timelines and simplified technology management and administration. All of our business users are delighted.”
—V M Samir, Corporate Head, Information Systems, Rustomjee
Google Cloud Platform presented an opportunity for Rustomjee to run its websites and microsites in a reliable, scalable, and responsive infrastructure. “Our evaluation confirmed Google Cloud Platform could support our growing demand for compute and storage,” says Samir. ‘In addition, because we undertake projects that are geographically distributed, networking – not only within the data center, but that could be accessed from any location – was very important. Only Google Cloud Platform had its own networking infrastructure.”
“More broadly, in a cloud environment, we could select any database we needed and start consuming operating systems as a service,” he adds. “In addition, we did not have to invest capital in licenses and hardware and we could always resize network bandwidth. Further, we could take advantage of pay-as-we-use cloud services, and link this to business growth.”
Google Cloud Platform also allowed Rustomjee to reduce the size of the teams needed to manage and operate its infrastructure. “When you have infrastructure running in the data center and in disaster recovery locations, you need to have a large pool of resources working around the clock to ensure constant uptime, sound backup, and good replication measures in place,” says Samir. “With the cloud, everything is simplified and we do not have to consider issues like how many hard drives have failed in on a particular morning.”
The business started testing and created its first virtual machine instance to Google Cloud Platform in April 2017. Because the Mumbai data center was not yet operating Rustomjee initially hosted its instances in the Google Cloud Platform Singapore Region. This initial move enabled the business to reduce the number of required virtual machine instances from six to one. After a year of running the website on Google Cloud Platform, the business found the simplicity of scaling compute resources meant its digital marketing teams were running more campaigns and servicing more leads, while compute spend had fallen by 56 percent. Furthermore, Rustomjee was not experiencing latency that impacted the user experience.
The opening of the Google Cloud Platform Region in Mumbai in late 2017 gave Rustomjee an opportunity to use compute, storage, and networking services located domestically. The business decided to go all-in on Google Cloud Platform and migrated a range of applications to the service.
These included an SAP enterprise resource planning system, running initially on Oracle but moved to the SAP HANA in-memory computing platform, with the assistance of advisory consultants from a leading firm. This system is integral to Rustomjee’s successful operations, meaning it has to be highly available and responsive. “All our financials are captured and stored in this system, as well as projects, materials management, order management, financial systems, and sales ordering systems, both procurement and supply-side,” says Samir. “In short, we cannot live without SAP ERP!”
Rustomjee turned to SAP specialist partner InfraBeat Technologies, a leading network implementation provider, and Google engineers to complete the migration successfully. “We were all in this together and collaborated closely to deliver the project successfully,” says Samir. “We were very impressed by the expertise and skills of everyone involved.”
A nine-day migration
With assistance from Google Cloud and the partners, Rustomjee moved all its SAP workloads, from sandbox to development, development to quality, and quality to production, in just nine calendar days, without impacting the business. “We did not have to shut down the business operations during the migration because Google Cloud Platform complemented every idea we had,” says Samir. “And when my business users came to work on the Monday morning [after the final migration], everything was stable and performance had improved. We told them our infrastructure had changed and they should start thanking Google Cloud!”
Moving to Google Cloud Platform enabled the business to complete certain customer invoicing workloads in just two hours, down from 13 hours previously. Backups of the SAP enterprise resource planning system that had taken up to six hours, were now being completed in six minutes.
“We have now fully embraced a cloud-first approach and have moved 100 percent of our workloads to the cloud. We depend totally on Google Cloud Platform to run our business.”
—V M Samir, Corporate Head, Information Systems, Rustomjee
Eight weeks down to 20 minutes
Rustomjee has also cut the eight-week cycles needed to set up the infrastructure and applications for a new real estate project, and integrate it into the SAP system, to just 20 minutes. “With Google Cloud Platform, we’ve achieved a considerable reduction in timelines and simplified management and administration,” says Samir. “All of our business users are delighted.”
With its website and enterprise resource planning system running successfully on Google Cloud Platform, the business decided to move its virtual application delivery environment into the service. “We decided to move all 800 of our employees into the cloud, so they could access applications through any endpoint, be it a mobile phone, tablet, thin client, desktop, or laptop,” says Samir.
The business decided to replace an existing application virtualization product with public images available on Compute Engine, with testing of Android, iOS and Windows operating systems across a range of devices proving highly successful. “Running the remote desktop service in Compute Engine and using public images enabled us to operate a leaner, simplified desktop as a service environment,” says Samir. “We have been able to deploy business function-specific virtual machine instances on the cloud and compartmentalize data to the business functions that need them. The business completed the move – including 8.1TB of data – in just six weeks. “The only workloads we did not move during that period were intensive workloads for visualization,” says Samir.
However, the four teams that did not use the remote desktop as a service environment – and that created visualization-intensive workloads – were working in traditional ways, compromising productivity and increasing risk. “They used to be given a desk in their respective offices and their workstations loaded with the applications,” says Samir. “There was no way of taking hourly backups of these devices and there was no recovery mechanism for the applications, because they were not in the data center.
“The other challenge was what happens to the data, because we operate out of multiple locations. The users in these four teams always had to come back to pre-assigned desks and continue working from there. This was counterproductive.”
The business subsequently implemented virtual machine instances with GPU access for visualization-intensive workloads. “We started evaluating Nvidia T4 (Tesla) GPUs in the Mumbai Region on 13 February and went live on 11 March in Mumbai,” says Samir. “By moving these 40 team members to Google Cloud Platform, we have enabled them to work with visualization workloads from any location, improving productivity and flexibility.”
Focus on core business
With Google Cloud Platform, Rustomjee can focus on running real estate projects and using technology to enable them. “I don’t have to refresh my technology every five to seven years, and I can leverage new technologies as they come on stream,” says Samir.
Reliable application access
With the flexibility and scalability of Google Cloud Platform, Rustomjee is now well-positioned to support further growth and operate in accordance with the time-limited nature of the real estate industry in India. “If we have promised to hand over the keys to a customer by a certain deadline and we fail to do so, we face a penalty of 10 percent of the cost of the project,” explains Samir. “The Indian Government introduced this regime in 2017 and business and technology have to align with its requirements.
“Google Cloud Platform is the right service to move us forward and enable us to overcome these challenges,” he adds. “We have now fully embraced a cloud-first approach and have moved 100 percent of our workloads to the cloud. We depend totally on Google Cloud Platform to run our business.”
PaGaLGuY Turns to Google Cloud Platform to Power Leading India Education Network

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Founded in 2006, PaGaLGuY started as a forum that enabled students, typically aged between 20 and 30 to discuss and seek advice on academic issues. By 2011, PaGaLGuY had increased its traffic to about 250,000 page views per month. The business is now one of India’s largest education networks and provides an app that users can download to their Android and iOS devices.
Over the past six years, PaGaLGuY has extended its service to include video advice from experts on education topics and grown the number of views of its pages to 1.5 million per day. As Head of Technology for the business, Sandeep Kalidindi has played a key role in ensuring PaGaLGuY is as engaging as possible to users. “Because the product is advertising based, the greater the user engagement, the greater the advertising revenue,” Kalidindi explains.
Google Cloud Platform Results
- Supported growth to 1.5 million page views per day and demand spikes that see requests increase from about 90 per second to about 1,200 per second
- Reduced API latency from about 1 second to about 40 milliseconds
- Reduced system administration time from three to four days per week to 30 minutes every two weeks
In 2015, PaGaLGuY’s senior management team decided to deliver an even more relevant experience for users of the education network. “The core thing we had to do was personalise the experience for each and every student that visited PaGaLGuY,” Kalidindi says. “So we had to capture each student’s data to customise what they see when they open the site.”
The business also found traffic to the network was straining its infrastructure. During demand peaks, created by exams involving as many as 5 million students, PaGaLGuY would be inaccessible for periods of 30 minutes to one hour. Furthermore, average API latency had climbed to an unacceptable 1 second, compromising performance.
PaGaLGuY needed to access extensive compute resources to undertake its planned change. Had the business relied on a physical technology architecture to undertake the transformation, it would have had to purchase capacity equivalent to 16 new servers. “There was no way with a small team we could grow to that extent in a short time,” Kalidindi says. “This was the right moment for us to explore cloud services.”
The business established two primary requirements the selected cloud service needed to meet. First, PaGaLGuY had to be able to scale the platform with costs rising only in proportion to the increase in resources consumed. Accordingly, the business would have to minimise the number of employees required to manage the cloud environment. Second, the platform had to give PaGaLGuY easy access to student data and the ability to undertake prompt, granular analysis.
PaGaLGuY reviewed available public cloud services and determined that Google Cloud Platform (GCP) was the best fit for its business. “Google Cloud Platform was considerably more mature than the alternatives, with a high degree of automation and a suite of managed services,” Kalidindi says. PaGaLGuY management then discussed with Google how to optimise cost, performance and availability of its personalised education network on GCP.
With assistance from Google and business transformation specialists Searce, PaGaLGuY was able to deliver the platform into production on GCP in 10 months. “Searce was very proactive in ensuring the environment met our needs and allowing us to gain priority access to Google services in development,” Kalidindi says. “Their team was integral to the success of the migration.”
PaGaLGuY has been running in production in GCP for two years. The education network’s GCP architecture comprises a scalable back-end built on Google App Engine; a managed environment for its containerised applications in Google Kubernetes Engine; messaging-oriented middleware through Google Cloud Pub/Sub; a relational database in Google Cloud SQL; a managed data analytics warehouse running in Google BigQuery; stream and batch data processing through Google Cloud Dataflow; and object storage in Google Cloud Storage.
PaGaLGuY has leveraged GCP services to break down its platform application from a monolithic build to a series of microservices running in Google App Engine that enable independent deployment cycles, minimise test and quality assurance overheads and provide clearer monitoring and logging.
Running on GCP has enabled PaGaLGuY to add new personalisation features and grow fourfold without having to add any new engineers or administrators to accommodate the increased traffic. The business has also used the platform to seamlessly collect and aggregate students’ data for analysis, reporting and delivering a more targeted user experience. Furthermore, PaGaLGuY has been able to provide its management team with direct access to Google BigQuery to scrutinise data rather than require them to wait at least a day to view reports created by the product or technology teams.
Support demand peaks of 1,200 requests per second
“Thanks to Google Cloud Platform, we can easily support demand peaks that see requests per second rise from an average 90 per second to about 1,200 per second for as long as 45 minutes,” Kalidindi says. Due to GCP’s scalability, PaGaLGuY can ensure its education network remains available and performance remains consistent during those periods.
Latency cut to 40 milliseconds
The business has also reduced average API latency from 1 second to about 40 milliseconds. Furthermore, using GCP has enabled PaGaLGuY to automate most of its processes and reduce system administration requirements from three to four days a week across its team members to about half an hour per week.
The performance of GCP has transformed PaGaLGuY’s culture and processes. “Once our team was exposed to Google Cloud Platform and understood the superiority of the platform, our mindset changed from ‘let us do everything on our own’ to ‘let us do what we do best’ and delegate the remainder,” Kalidindi says. The quality of the service provided by GCP means PaGaLGuY effectively considers the cloud provider as part of its team. “We are always eager to see what new services are being launched and are extremely excited about what Google Cloud Platform can provide as part of its roadmap.” he concludes.
Reducing Data Costs by 80% with Google Cloud: Inshorts’ Success in the Indian Mobile News Market

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About inshorts
Mobile news platform inshorts condenses the latest national and international news into 60-word briefs in English and Hindi. With 10 million downloads so far, it’s expanding to cater to millions more on-the-go Indians reading news on mobile devices.

Across India, hundreds of millions of people turn to their smartphones for news that will enhance their lives and help them achieve their goals. According to Professor Rasmus Kleis Nielsen, Director of the Reuters Institute for the Study of Journalism: “The past few years have seen explosive growth in mobile internet access, and the rapid move to digital media will have profound implications for the practice of journalism, the business of news, media institutions, and thus by extension political and public life in India.” The Institute reports that Indians with internet access have risen from 100 million to 500 million in the past decade alone. The report identifies India’s news industry as “a mobile-first market,” with 66% of Indians citing smartphones as the device they most frequently use to access online news.
Seeing an opportunity to meet the growing need for news on the go, inshorts developed a mobile news platform for Indians on the move who want to stay informed but don’t have time to read long articles. The inshorts solution condenses news, from politics to cricket, into briefs of under 60 words and has been well received, with 10 million downloads since launching in 2013.
To keep the attention of its always-on news consumers and attract more users for continued growth, inshorts knows it must continuously evolve and improve its platform. The company turned to Google Cloud in 2016 in order to free its developers from time-consuming infrastructure maintenance tasks and enable them to focus on creating innovative applications instead. It was also looking for powerful yet cost-effective data and scaling tools to reach more remote corners of India and found this in Google Cloud.
“There’s a new wave of 300 to 400 million first time mobile users projected for India,” says Manish Bisht, Head of Technology at inshorts. “We want to capture those users, and Google Cloud is helping us succeed.”
Freeing up resources for new solutions
By migrating to Google Cloud, inshorts has been able to free up its development team to experiment with new ideas, without worrying about backend management or costs. The company worked with cloud consultancy Searce, a Google Cloud Premier Partner, to define the best solutions for achieving its goals. Searce partners with clients to help them scale their business by leveraging Cloud, AI/ML, and data analytics while reducing the operational IT infrastructure spend. Because it specializes in AI/ML, Anthos, and Cloud Search, inshorts chose it as the ideal partner for futurifying its business on Google Cloud. According to Manish, the Searce team was focused not only on helping inshorts to migrate and adopt a on-demand computing mindset, but helping it to decrease monthly costs as well. “There’s always a positive push from Searce, to help us move forward, and to really put our company’s priorities first,” he says.
Through the application development solutions of Firebase, for example, inshorts is able to test new features in a rapidly shifting market. The product’s ease-of-use and built-in data analytics mean that inshorts can now allocate its developer resources more efficiently across multiple projects, instead of needing an entire team to focus on one project. Product cycles are now just one week long, instead of one month, and each backend and frontend developer in the team of four is able to focus on a separate project, meaning that more work gets done in a shorter time.
Dataflow, which enables real-time data processing, has been a major factor in allowing inshorts to instantly recommend content to users. Previously, the company had managed its own instances, first manually recording what users were doing and later pushing out recommendations. That all changed with Dataflow. “Dataflow freed a lot of our development and instance management time, because we can process data in real time now,” says Manish. “And that means giving users what they want instantly.”
Perhaps one of the biggest time savings came from using Dataproc, which released the inshorts team from the task of managing clusters. “We simply moved to Dataproc, provisioned the machines, and let Google Cloud take over all the management for us,” says Manish. “This one change translated into labor savings of up to six hours a day.”
Where costs are concerned, inshorts is happy to report that Google Cloud has led to not just time savings, but monetary savings as well. The company had begun its cloud journey with a leading provider, but soon found that data analytics services were driving up costs. Meanwhile, the service required high levels of technical expertise to manage the growing infrastructure, which meant it needed to hire a DevOps expert. After switching to Google Cloud products such as Google Kubernetes Engine (GKE), Cloud Deployment Manager, and Cloud Build, inshorts has now reduced most of its DevOps burden.
“At the time, we were spending around USD100,000 per month in data analysis and data-related fields alone. We had to pursue a cost optimization drive,” recalls Manish. “We had no idea how much we would save just by migrating to Google Cloud. We brought down our costs for the entire infrastructure to around USD20,000 per month.”
The company now uses BigQuery with Looker Studio to analyze and predict its tech expenditure. With Looker Studio, it can easily visualize infrastructure costs and break them down by team, services, and project stakeholders.
Processing millions of images quickly, delivering news instantly
inshorts cites the move to GKE as one of its most important moves. “At one point, we were processing a quarter of a million images per day. Because images are uploaded by our users, traffic is unpredictable; planning the exact amount of compute needed in a given moment is almost impossible. Load balancing itself was no longer enough,” shares Manish. “Google Kubernetes Engine makes life easier for our developers, reducing the need for them to be ever present, and giving them a tool that’s easy to work with.”
The inshorts team moved to GKE primarily to gain this ease of use, where its team can now push a few configurations, then spin up clusters, tell them how to handle the load and what kind of machines to provision, and manage resources effectively. The team has reduced its dependency on DevOps since there’s no need for developers to worry about what size of machines they need for their applications. “The size of machine needed depends on the specific job, and with Google Kubernetes Engine it’s very easy to accommodate a whole range of jobs. We simply optimize our resources, scaling up or down as needed,” says Manish.
As inshorts’ platform becomes more feature-rich and sophisticated, it is taking advantage of the global network of Google Cloud. With its data center in the United States, the platform had begun to experience latency of about 600ms, too great a lag in an age of instant news. Because Google Cloud has regional data centers around the world, inshorts was able to simply move its data center closer to home, bringing down average latency to 100 ms. “We achieved significant app performance improvements thanks to being able to migrate our data center,” says Manish. “The loading was faster; everything was faster.”
Mapping the future with localized news
Being able to develop features even faster is enabling inshorts to pursue its goal of expanding into every corner of India. To capture the wave of new mobile consumers, inshorts realizes that it needs to start by finding out exactly where they are. Using Google Maps Platform, the company has launched a location-based social video app called Public, which offers news that’s highly localized to specific Indian communities and relevant to what they want to read.
As a developing nation, India’s mapping landscape is constantly changing. There were 722 administrative regions when inshorts began its work, but by 2018, 10 new districts had been added to this number. Because Public serves rural and suburban audiences, it’s crucial that it can stay on top of these rapid and sometimes confusing changes. According to Manish, Google Maps Platform not only offers granular geo-location through the Geolocation API but adapts to mapping changes in near real time. It’s a capability that inshorts is harnessing to make the Public app into its next success. “The app is experiencing tremendous growth in the tier two and three cities,” shares Manish, “In the short span of six months, it has already become the category’s number-one ranked app on the Google Play store.”
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