FinOps is becoming standard practice among enterprise cloud-strategy decision-makers to ramp up cost efficiencies in face of usage cost at a rate of 10-15 per cent, as per Forrester. Speaking with businessline, a Forrester analyst pointed out that this usage will only increase as companies growing more confident about the regulations around data management.
Around 67 per cent of enterprises asserted FinOps practice and another 18 per cent said they planned to adopt one in the next 12 months, as per ‘The State of Cloud in India, 2026’ report by Forrester. Stating that FinOps adoption is now mainstream, it talked about how organisations are formalising cloud spend governance through cross-functional FinOps teams that embed cost visibility, accountability, and optimisation into engineering and delivery processes.
“FinOps itself is also evolving. We started off being only from a cloud licencing or cost management. It’s getting more and more integrated with SaaS management and software asset management,” said Biswajeet Mahapatra, Principal Analyst at Forrester.
Stating that cloud usage has gone up 10-15 per cent over the last two years, Mahapatra said the method of FinOps adoption is changing in turn leading to changes in cloud adoption. To his point, the report gave the example of an Indian educational tech firm that implemented a FinOps-driven rightsizing program, identifying overprovisioned servers, scheduling resources off during nonpeak hours, eliminating unused storage and network assets, and thereby reducing overall cloud infrastructure costs by 35 per cent. Similarly, a private general insurer addressing a $2 million annual cloud bill introduced real-time cost dashboards, alerts and saved more than $600,000 annually (around 30 per cent of total spend) and significantly reduced month-to-month cloud cost volatility.
Despite this, Mahapatra said the growth in cloud usage did not meet his expectations, likely due to pending clarity on data cloud security, changing customer sentiment, clearer laws around digital sovereignty.
“People are conservative when spending more money on the CX and EX, not looking at an infrastructure and migration. Now that they have seen it, so they have started migrating. The adoption growth will speed up going froward,” said Mahapatra.