Abstract-Computational paradigm has been revolving round cloud computing and its offshoots for some time and till we see a breakout resulting in a breakthrough technology driven by advances in microelectronics and material technology. Till we experience a radically efficient technology for computation it is worth juxtaposing the virtues of cloud computing and market's longing for offering cost and quality arbitrage to the marketplace. Integration of cloud computing in enterprises has the potential to influence the way business gets carried out by them in the market place. Different reports show that demand for cloud computing products and processes is in an upward growth trajectory. This paper identified the characteristics, drivers and constraints of cloud computing which influence its adaptation and integration in enterprises. We are also examining India specific opportunities and threats of cloud computing tools and cloud driven practices in the context of fierce competition among enterprises to remain competitive in the marketplace by reducing software licensing fees, cost of capital to acquire digital systems and cost of maintenances.New directions in cloud computing are analyzed by using Gartner strategic technologies and trend in research publications. Paper focuses on exploring the research issues which are categorized into technical and business in nature for understanding the evolving fortunes of cloud computing. Number of papers published in IEEE is an indication of the popularity and relevance of the continued research initiatives happening in the area. It is also noticed that that very few researchers are attempting to understand the possibility of remodeling business processes leveraging the new found computational paradigm.