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Digital Transformation

Google’s Bigger, Cheaper Cloud

I’ve been keen to watch the cloud options evolve because of the huge impact they can have on my portal, social, web content, and digital marketing world.  The bits blog has a good article on Google’s continuing evolution with the cloud offering.  It should be no surprise Google is cheaper.  It may be a surprise that Google has vowed to continue to make it cheaper at the same rate as Moore’s law.

Google’s cloud computing business has figured out how it’s going to come at Amazon Web Services: lower and simpler prices, predictable services and software innovation. Some of the price cuts are as much as 85 percent. Amazon is expected to soon respond with moves of its own.

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At a Google event on Tuesday, Urs Hölzle, a Google senior vice president, said prices for Google Compute Engine, its cloud service for big workloads, would be cut 32 percent across the board. Prices for App Engine, its software application service, were simplified and fell about 30 percent. Data storage prices were cut 68 percent, in general, to 2.6 cents per gigabyte over various storage systems. BigQuery, a data analysis product, saw prices cut 85 percent.

Prices would continue to fall roughly in line with Moore’s Law, Mr. Hölzle said. That is actually an impressive vow; Moore’s Law is an observation about semiconductor power, but Google, Amazon Web Services and others offer increasingly sophisticated software, as well as hardware.

Go to the bits blog to see the entire article

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Michael Porter

Mike Porter leads the Strategic Advisors team for Perficient. He has more than 21 years of experience helping organizations with technology and digital transformation, specifically around solving business problems related to CRM and data.

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