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Google takes aim at AWS - now it must prove it is right cloud for the enterprise

Matthew Finnegan | March 24, 2016
Google announces Disney, Coca Cola and Home Depot as customers

"So every time they bring out a new product it is already there and they just slot it into the programme. Google had to retrofit it everywhere. So this [IAM] release brings them up to the level where every item they release a new product the identity service is in."

Despite these improvements, Google has some way to go to beat AWS. Its rival has been hugely successful in convincing companies in what would generally considered more conservative industries, than say, an online giant such as Spotify.

Google is currently a small player, at least in relation to Microsoft and AWS, the latter of which recorded sales of $8 billion during 2015. In comparison, Google's cloud reportedly drew in $500 million.

IT leaders have not been convinced by its offerings so far. According to a survey of 112 CIOs by Piper Jaffray earlier this year, the number planning to use AWS grew from 33 percent to 35 percent. Meanwhile those showing interest in Google Cloud Platform fell from 14 to seven percent.

But it is making the right moves.

Hiring former VMware CEO Diane Greene to lead cloud strategy was always going to be a good decision on Google's part - she has immense expertise in convincing enterprises to move to new technologies. She also looks set to galvanise Google's sales teams to attract more big customers.

In addition to this, Google is well placed as the the fight between cloud vendors starts to move away from storage and basic compute services, and up the stack to databases, analytics tools and machine learning. This is where Google has a strong set of products such as its BigQuery and DataProc tools, as well as its impressive AI capabilities.

Clearly the company has its priorities right in terms of catering to an enterprise audience. And it has big ambitions. Google's Urs Holze stated that the cloud business could outgrow Google's ad business revenues within five years.

These are lofty aims, but most would agree that public cloud adoption is really in its infancy.Gartner analysts predict that global infrastructure as a service sales will jump 22 percent in the next year, reaching $22 billion. The reality is that a tiny fraction of applications are yet running in the cloud.

Google still needs to prove that it can execute on its enterprise strategy, but get this right and AWS will really have something to worry about.

Source: Computerworld UK 


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