Amid the ongoing funding crunch, Indian startups are cutting their spends on cloud storage and renegotiating contracts with service providers like Amazons AWS.

This and more in todays ETtech Morning Dispatch.

Also in this letter: Online gaming companies say TDS will cut rows, compliance load For cloud kitchens, pandemic-driven sheen fades away What the IT sector can learn from 2008 crisis?

Cloud service providers see a price war as startups renegotiate contracts

Slashing costs: Founders, technology and product heads, ET spoke to said that companies across the board are cutting cloud expenses by 20%-30% while some growth-stage startups like Meesho and Dealshare have brought cloud expenses down by 50%.

Cloud wars brewing: As startups have downsized, rivals of Amazon Web Services (AWS), which is the preferred cloud service provider with new-age tech businesses, have started luring founders with deep discounts. Azure has come off as a strong choice, as it sweetens the deal by bundling cloud services with the Microsoft 365 productivity suite. But, shifting to a new primary cloud provider is time-consuming and expensive.

Whats next? Founders have been smart to take these discounted offers to AWS, and are actively renegotiating contracts. Some early stage founders have also approached AWS to extend cloud credits for a year.

Cut, cut cut: Technology heads at startups are pushing teams to drive server optimisations, deploying fewer but more efficient lines of code, minimising software tool partnerships, and moving to load capacity planning. Among other costs that startups are looking to cut are storage, monitoring, and application programming interface (API) calls.

Wary IT companies may halve hiring of engineers from April: Experts

Drop in hiring: Staffing firm TeamLease expects a 40% drop in FY24 headcount addition compared to FY23, based on the current outlook from companies. This comes after the companies reported record hiring and attrition numbers during fiscal year 2022 and first half of fiscal 2023.

In Quotes: So far in FY23, there has been a net headcount addition of about 2.8 lakhs (across the IT sector) and Q4 addition is likely to remain flat. In recent quarters attrition has gone down and growth visibility has also reduced. So we would expect a 30-40% drop on FY24 headcount addition based on the current outlook, said Sunil C, CEO, TeamLease Digital.

Online gaming companies say TDS will cut rows, compliance load

Background: In the Union Budget for 2023-24, the government introduced Section 194BA and 115BBJ to tax income that users earn by winning on gaming platforms. Section 194BA deals with TDS while Section 115BBJ prescribes the 30% tax rate on winnings. Both these provisions were initially to be applicable from July.

Why the change? The industry had sought the applicability of TDS to April so that the taxation regime stays uniform for the entire financial year. Having two different tax regimes during the same year could have led to compliance burdens and tax disputes, gaming industry executives said.

Quote, unquote: "It would have been problematic if the TDS would have been applicable from July as the financial year starts from April 1, and the period from April-June would have been an exposure, and even potentially open to dispute with tax authorities".

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ETtech in-depth: Cloud kitchens change flavours as pandemic-driven sheen fades away

Declining trend: The cloud kitchen boom has subsided. Food ordering platform Thrive says it has seen a decline in the number of new cloud kitchen brands signing up on it. In 2020, 24% of food brands that signed up were cloud kitchens. It jumped to 32% in 2021. In 2022, their share fell to 25%. As of March 2023, just 8.3% of its new merchant sign-ups were cloud kitchens.

Shutdowns, exits, mergers: The slide was visible even last November when food delivery platform Swiggy wound down its delivery-only brand, The Bowl Company, in Delhi-NCR as it did not perform well in the region. It is not just delivery-only food brands that have been hit. There has been a spate of shutdowns, exits and mergers of startups providing space and infrastructure to dark kitchens. Early March, Swiggy sold Access, which rented out kitchen spaces, to Loyal Hospitality. Last month, Zomato-backed Mukunda Foods shut down Nucleus Kitchen, which offered automated kitchen spaces to brands.

Lessons from the past: what the IT sector can learn from 2008 crisis?

Collapse and chaos: Over the past few weeks, the US has seen its second and third largest banking failures in history with Silicon Valley Bank and Signature Bank, both taken over by the Federal Depositors Insurance Corporation (FDIC). First Republic has been teetering, with JP Morgan heading talks on a rescue plan. Across the Atlantic, Swiss bank UBS has had to take over a failing Credit Suisse. On Thursday, Software services behemoth Accenture said it will cut around 19,000 jobs giving in to macroeconomic concerns.

Companies with exposure to troubled banks: Companies like Tata Consultancy Services, Infosys, Wipro, LTIMindtree, Cognizant and Mphasis are vendors to banks at the centre of the turmoil such as Silicon Valley Bank, Signature Bank and Credit Suisse. Exposure to regional banks in the US is the highest for Cognizant, followed by Infosys and TCS. Tech Mahindra and HCLTech have low exposure to US regional banks.

Other top stories by our reporters

Paytm wins regulator extension for payment aggregator licence application: One97 Communications (OCL) said its subsidiary Paytm Payments Services Ltd (PPSL) has received an extension from the Reserve Bank of India to resubmit its application for a payment aggregator (PA) licence. The banking regulator had in November last year asked Paytm to reapply for the licence within 120 days and stopped it from signing up new online merchants for the platform.

Pocket FM plans a global audio series platform: Audio streaming platform Pocket FM is planning to increase its global presence, after the 'great traction' it is seeing in the US. The Gurgaon-based company made its foray into the market in November last year. "As a format, audio is way more engaging and monetizable than audiobooks and podcasts," Rohan Nayak, co-founder at Pocket FM, told ET.

Global picks we are reading:

ChatGPT started a new kind of AI race and made text boxes cool again (The Verge)

At Apple, Rare Dissent Over a New Product: Interactive Goggles (New York Times)

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Cloud services wage price war as startups cut costs; wary IT firms may halve hiring of engineers - The Economic Times

Ian Compton, Director of Sales (EMEA), at Arcules offers some guidance on the key benefits that operating a cloud-based video surveillance model can bring to an organisation. He also explains the different options security managers should consider, whether its a private, public or hybrid solution that fits best with the company needs.

More organisations are looking to reap the benefits of the flexible and scalable cloud-based service model, causing the clouds global usage to rise. According to a report by Data Bridge Market Research, the global video surveillance-as-a-service market is expected to exceed $11.16 billion by 2026.

In the security segment, cloud adoption has moved more slowly than in other industries, but weve reached a period of sustained, growing interest. The simplicity of the Software-as-a-Service (SaaS) approach is the primary reason for the increase in spending. But there are other far reaching impacts to consider.

Here are some to keep in mind:

Centralisation is one of the most valuable components of the cloud because it allows users to access information from anywhere using a range of connected devices. One platform contains all pertinent data. Stakeholders can get the most relevant and up-to-date information within minutes if there is a security or business crisis.

Flexibility and scalability are also essential features. A cloud solution for storing and managing video data allows for rapid adjustment and agility as a company grows or its technology systems become more advanced, reducing the complexity that might come with expansion.

Intelligence is derived from data analysed and stored in the cloud. The cloud provides stakeholders with more insight into daily operations. It helps ensure that all organisational and security goals are met daily and into the future.

Data security in the cloud is a highly discussed issue, but the cloud can enhance data protection with proper protocols in place. Stakeholders can protect sensitive data from bad actors by utilising vulnerability testing, password etiquette, software patches, and encryption. Additionally, public cloud providers have invested significant efforts into ensuring their networks are protected and provide the utmost uptime.

Automatic updates take the burden off IT departments regarding system management, as upgrades and security fixes are automatically installed. Cloud services are, therefore, exceptionally beneficial for organisations with limited or nonexistent IT teams, as it takes maintenance and operational concerns out of their hands.

Cost efficient is a term used when discussing cloud deployment because a SaaS model can be much more affordable than a hardware-based model. Deploying a cloud-based solution substantially reduces an upfront capital investment, introducing more of a service-based arrangement instead of paying for video data, storage, and add-ons they use.

The shift to the cloud is a challenge for our industry because of our traditional reliance on hardware. On-premises surveillance solutions have been the norm, and its what were used to. On-premises is not all bad: several businesses prefer to control all decision-making and data handling, making an on-premises solution ideal for customised configurations unique to the organisations needs.

However, organisations that are interested in incorporating the cloud into their overall security posture have three options to consider:

Private cloud

Some organisations deploy their storage systems in-house, implementing cloud computing and storage technology. Private cloud offers the usability, scalability, and flexibility for which cloud is known and is a viable option for those businesses looking to adopt cloud technology but on their private network to limit access to outside users.

A private cloud, however, is not without its limitations. The oversight and management of this storage solution require extensive training and knowledge of the best practices for protecting transmitted data. In general, private cloud systems have a higher cost of ownership due to the hardware investments that need to be made and maintenance costs.

Public cloud

Public cloud refers to the delivery of hosted services over the internet. The public cloud is an optimal video surveillance solution for businesses looking to experience scalability and flexibility in streamlining video and business operations and identifying the organisations most prominent risks. The public cloud is an excellent choice for an organisation to centralise surveillance and data management.

However, the public cloud may not be the best option for businesses without the bandwidth required for streaming footage. The cost of streaming video 24/7 can certainly add up, and if a company demands extensive live viewing, an on-prem solution could make more sense.

Hybrid cloud

Hybrid cloud models allow for a mix of on-premises, private, and public cloud services. Forrester defines a hybrid cloud as one or more public clouds connected to something in my data centre. That thing could be a private cloud. That thing could be traditional data centre infrastructure.

Workloads and data can move freely between the various pieces, creating an advantage for those looking for a balance between the two options mentioned above and a solution tailored to their needs. Additionally, many locations are a good fit for an on-premises solution, making sense for the business.

Evaluating bandwidth is critical in determining the exemplary cloud-based service to meet an organisations needs. Low bandwidth can cause issues with how much data the network can handle at once, significantly reducing the users ability to access critical data when needed.

Its also crucial to determine the level of support required within the organisation. For many, the service-based model can help ensure high levels of oversight over the system beyond the regular security updates to include regular monitoring. To determine this, users must identify who will be responsible for using the system.

To sum it up, you have many options as you consider how cloud video fits within your digital transformation plans. Its essential to evaluate the specific needs of your organisation. The possibilities of cloud solutions are limitless.

If you carefully plan your cloud journey around current and future needs, you can realize a more straightforward yet effective video management program.

Discover the latest developments in the rapidly-evolving video surveillance sector. by downloading the 2022 Video Surveillance Report. Responses come from installers and integrators to consultants and heads of security, as we explore the latest trends including AI, software and hardware most in use, cyber security challenges, and the wider economic and geopolitical events impacting the sector! We also take a deep dive into how video surveillance is being used in healthcare, education, retail and logistics.

Download for FREE to discover top industry insight around the latest innovations in cameras and video surveillance systems.

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How can your business benefit from a cloud-based video model? - IFSEC Global

Windows 11 has just received an optional update which applies some useful fixes... but also something a bit more controversial for the Start menu.

As spotted by Bleeping Computer (opens in new tab), thatd be what Microsoft describes as notifications for Microsoft accounts appearing in the Start menu, a feature that some suspect has a hidden agenda.

What do we mean by that? Well, in the support document (opens in new tab) introducing patch KB5023778 for Windows 11 22H2 PCs, which is still in preview but will be fully rolled out next month, Microsoft gives an example of a notification: a pop-up panel warning the user that they need to back up their files.

Sensible advice, and of course, it's a good idea to back up your main folders (documents, pictures, and so on) to the cloud every now and then as suggested (and locally too, maybe using an external drive for instance).

You can guarantee, though, that starting a backup from this prompt will try to get you to use OneDrive, Microsofts cloud storage service. Because as we know, these Start menu prompts are notifications related to Microsoft accounts and connected services like OneDrive.

Past leaks from Albacore (a well-known leaker on Twitter) have also shown Microsoft prodding users (in test builds) to hit up OneDrive in this manner, or to create a Microsoft account (or to complete their Microsoft profile).

Regarding this new feature, Microsoft tells us: This is only available to a small audience right now. It will deploy more broadly in the coming months. Some devices might notice different visual treatments as we gather feedback.

The freshly unleashed optional update also provides a bunch of bug fixes, including one for a glitch that affects printers (connected via a USB port) and makes them appear to be multimedia devices.

So, this Start menu feature is progressing, clearly. We saw it in the Release Preview channel for Windows Insiders (testers) just a week ago, and now, its hitting actual Windows 11 PCs going forward.

Admittedly, its still an optional (test) update right now, but itll almost certainly be part of Aprils cumulative update for Windows 11 deployed in a couple of weeks. Unless Microsoft has a last-minute change of heart and pulls the plug at the precipice of deployment (and at this point, thats very unlikely).

Of course, its only rolling out to a small subset of Windows 11 users initially. Although that in itself is telling Microsoft is evidently concerned about the response and is still testing the waters in a limited fashion, as it were, with a broader rollout not coming for months to boot. The software giant is being careful about this one, and doubtless for good reason.

Maybe we wont even see these kind of ads or reminders, as Microsoft couches them all that often in the Start menu. They could just be very occasional things. We dont know, and we also dont know exactly where Microsoft is going to be drawing the line between suggestions or recommendations, and pushing its own services as a form of help to the user which effectively crosses over into the realm of advertising.

Time will tell, but its clear enough that suggestions are set to be a big thing in the future for Windows 11 (or indeed Windows 12). Recently weve seen further hints of personalized recommendations in the Start menu, including recommended websites to visit (yes, that concept is seemingly back on the table), which again would seem to be ripe territory for what could effectively be advertising.

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Microsoft's mission to make Windows 11 worse continues with ads in ... - TechRadar

SIOS Technology's latest release aims to maintain high availability for SAP HANA databases, even when backup database clusters are out of commission.

LifeKeeper for Linux version 9.7, the latest update of the companys high availability software for database on Linux, adds multitarget replication capabilities of up to four nodes for SAP HANA databases. LifeKeeper previously offered support for multitarget replication of up to three nodes. Other databases supported by LifeKeeper include SAPs MaxDB, Microsofts SQL Server and Oracle Database. The new version of LifeKeeper is now generally available.

Uptime through high availability failover and recovery applications is paramount to avoid downtime for enterprise applications built on SAP HANA, an in-memory database, said Peter Rutten, a research vice president at IDC.

These databases tend to be mission critical for the enterprises that run them. If it goes down, the business is severely affected, he said. It became too complicated to a point as a lot of [disaster recovery features] are built in. SIOS is one of the few [vendors] that deliver high availability both on premises and in the cloud. SIOS is building atop the high availability within SAP HANA.

Existing SAP HANA recovery services assume the user is willing to connect their databases to a cloud service for managed recovery or engage with a more complicated preparation phase using scripting and open-source software, Rutten said. SIOS Technology brings automation to the scripting process.

The expansion to four nodes for multitarget replication through the new HANA multitarget feature enables high availability of increasingly complex systems of servers and storage to maintain HANA databases, according to SIOS spokespeople.

SIOS LifeKeeper provides automated synchronous and asynchronous replication across databases along with no need to set up or implement failover scripts for disaster recovery, primarily using SAP HANAs own takeover with handshake feature. Other capabilities include monitoring tools for the health of the SAP HANA instance stack.

The update also expands the softwares supported OSes to include IBM WebSphere MQ v9.3 and IBM Red Hat Enterprise Linux (RHEL) v9.0; SAP HANA on RHEL 8 and SUSE Linux Enterprise Server 15 SP4; and S/4HANA 2022.

The software is sold with a perpetual or subscription license. Future updates for the software will include a web console for management, improvement integration of more public and private cloud vendors, and providing additional insights into the health and operations of customer clusters, according to SIOS.

Both SUSE and Red Hat have offered their own open-source variants of high availability for SAP HANA for years, Rutten said. But open source requires more IT intervention in setup and use over the automated capabilities sold by SIOS.

Standard data backup and disaster recovery factor in varying amounts of downtime as services are restored at another location, which can result in some extended outages, according to Krista Macomber, an analyst at Evaluator Group. High availability, however, demands more technology resources as a separate third data copy needs to be replicated simultaneously to another location alongside the primary and backup data stores through clustering.

Those quick recovery requirements and replication demands mean only pivotal databases are given the status. This means that enterprises typically have to be selective in choosing the applications they implement high availability for, Macomber said.

IT staff simply don't have the budget or, especially these days, the time, she said. Another big challenge is that many implementations use a shared SAN to keep the backup and replica data copies up-to-date -- this means potentially a single point of failure.

Tim McCarthy is a journalist from the Merrimack Valley of Massachusetts. He covers cloud and data storage news.

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SIOS looks to boost SAP HANA automated replication - TechTarget

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Editor's Note: This story originally appeared on Living on the Cheap.

While few people knew the term cloud computing just a decade ago, the cloud has become an important part of our digital lives. Cloud services now cover important needs like email, music, photos, and other files. One of the most important uses of the cloud is personal file storage.

Heres a look at the top free cloud storage service options today and which could be the right fit for your storage needs

Dropbox is one of the original cloud storage solutions and remains one of the most popular dedicated cloud storage products. Dropbox makes it easy to sync a dedicated Dropbox folder between multiple devices.

If you work with two or more computers regularly, Dropbox is one of the easiest ways to transfer files between computers or even your phone or tablet.

The free basic account includes up to 2GB of storage, which is pretty small, and a limited set of sharing and smart syncing features. Paid plans start at $9.99 per month for one user with 2TB of storage space or $16.99 for a family plan with six users splitting 2TB. (Heres a good explanation of how much a terabyte is.)

In addition to syncing your Dropbox folder, you can use Dropbox to backup your computer or specific folders, securely share files and documents, and access saved files for up to 30 days after deletion.

Ive had a Dropbox account since August 2011 (happy anniversary to me), and a paid account for many years. I couldnt imagine running my online business without it!

Google Drive is a cloud storage solution from the search giant you likely use multiple times per day already. If you have a Gmail account or any other type of Google account, you already have Google Drive and may not even realize it.

Free Google accounts come with 15GB of storage shared among Gmail, Google Drive and Google Photos.

Paid plans start at $1.99 per month for 100GB of storage. I have the 200GB plan for $2.99 per month, which I share with my family. More expensive plans start at 2TB, but youll pay a lot more at those levels.

The powerful features of Google Photos and integration with Google Workspace (Google Docs, Sheets, etc.) also make it an appealing cloud storage option.

Drive is great if youre deeply entrenched in the Google ecosystem. Android users will find close integration with Google Drive and Google One services. It works well for syncing your Google Drive folder, backing up photos, and sharing files and photos with family and friends. If you already use Google, this is a great place to start because you dont have to sign up for a new account.

Even if youre not already signed up, the 15GB free account could meet your online storage needs without typing in a credit card number.

Dedicated iPhone and Mac users should first consider iCloud, the storage solution from Apple. Among other features, iCloud is closely integrated with Apples operating systems for automated photo and file backups. You can also backup and sync an iCloud drive folder and other folders you specify.

Free iCloud accounts include 5GB of storage space. If you need more than that, which you likely will, plans cost $0.99 per month for 50GB, $2.99 per month for 200GB, and $9.99 per month for 2TB.

I use a Macbook for work and back up my photos using iPhoto, which put me on the $9.99 per month plan. My wife also has a $2.99 per month plan of her own tied to her Macbook Air.

Because of how iCloud integrates with iPhone, iPad, and Mac devices, its great if you use them. However, if youre not an Apple person, you can skip iCloud.

OneDrive is part of the Microsoft 365 package, including the Microsoft Office suite of products (Word, Excel, etc.). The close integration of those applications makes OneDrive a great option for businesses that regularly use Microsoft Office and share between team members and customers.

You get 5GB for free with a basic account, or you can buy 100GB of storage for $1.99 per month. A Microsoft 365 Personal subscription, which includes the office apps and Skype credits, gets you 1TB of storage for a total of $69.99 per year. A family plan gives you Office, Skype, and 6TB of storage for up to six users for $99.99 per year.

Windows users may already be familiar with OneDrive, as its preinstalled with Windows and closely integrates with the operating system. Its decent for backing up specific folders but doesnt have the cross-platform support you get with Google or Dropbox. Instead, its closer to what you get from iCloud but Windows-specific.

I have a Microsoft 365 subscription because I need the office apps for personal and work use, but I dont use the storage space even though Im paying for it.

If youre an Amazon Prime user, you get 5GB of free cloud storage with your annual subscription. Prime users get the added benefit of unlimited photo storage.

Fire device owners get unlimited photo storage for images taken with the device plus 5GB for video. Paid plans cost $1.99 per month/$19.99 per year for 100GB, $6.99 per month/$59.99 per year for 1TB, or $11.99 per month/$119.98 per year for 2TB.

Outside of its unlimited photo storage for Prime customers and Fire users, Amazon Cloud Drive isnt particularly exciting compared to the others on this list.

Box is another dedicated cloud storage company with a long history of providing secure storage to personal and business users. Its best for keeping files backed up and syncing specific folders between computers and the cloud.

The free personal plan includes 10GB of storage for files up to 250MB in size. For $10 per month, you get 100GB of storage for files up to 5GB each. Business plans are available as well.

NextCloud is a self-hosted cloud storage system. If youre techy and have an extra computer lying around the house, you can use NextCloud to create your own cloud backup system. NextCloud is free to use and open source.

If youre good with computers and concerned about privacy, NextCloud is a good alternative to the larger cloud services. Just keep in mind that youre in charge of tech support and keeping redundant backups in case your system runs into any issues or drive failures.

NextCloud is free, but you have to provide your own computer and storage drives.

Theres no cloud storage system perfect for everyone, but you can likely find one or two that combine to meet your needs perfectly, or more if youre a computer nerd like me. Just be careful to avoid signing up for too much storage or subscriptions you dont need, or you could overpay for storage space you dont use.

Dedicated Google or Apple users may gravitate to one of those solutions, while those who work across operating systems may prefer Dropbox. Both Dropbox and Google Drive are top options for those who are not dedicated to a specific cloud ecosystem.

When you know what you need and how you plan to use it, its easy to pick a cloud storage suite for your needs.

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Which Free Cloud Storage Solution Is Best? - Money Talks News