Google Is Competing With Amazon Web Service

Google is competing with Amazon in the cloud computing space.

Alphabet Inc.’s Diane Greene, the new chief of the company’s cloud computing domain did not have good news for its employees during the company’s internal sales meeting that took place at Las Vegas last month. The tech giant came to a unanimous consensus that they need to take their customers seriously, need to endorse their services better, be aggressive and complacent to embrace a change.

This was a rather strange message that was revealed by the search engine giant, since the company lays emphasis on technology in contrast to marketing and sales. However, the move was quite necessary. The company ranks third in the cloud computing domain which is the next big thing in the IT fraternity. As per Gartner Inc. the industry is likely to grow by 35% next annum where it is likely to make business of $20 billion a year as estimated. Thus, to reach the top in this segment, the company needs to increase the number of data centers it operates. This will be in compliance to their strategy of relying on technology to sort out the obstacles that are thrown their way.

However, Diane Greene is also adopting new strategies that are unlike the playbook of GOOG. The company is designing tools which will help it to increase its corporate user base to indulge less tech savvy clients. It is also looking for fresh talent who will be responsible to sell and endorse the product offerings.

"There was a pretty darn good vision in place and now I’m just bringing everybody together so that we all know what we’re doing," stated Greene- who is the part of the company’s Board of Directors. “The cloud is a revolution, I mean it’s rivaling the industrial revolution, and it’s pretty fun being this involved."

Google initially invested the cloud platform for its own use back in 1990 and 2000. Google thus left Amazon.com Inc. to transform the idea into a service that could be rented by other firms. This eventually paved way for Amazon Web Services which transformed into a service that had a net worth of $8 billion in FY15. This made AWS the uncrowned king of the fraternity sabotaging Microsoft and Google that only garnered $500 million as per Morgan Stanley.

Back in November, Google recruited Greene so it could change its fate. She is a maestro in the Silicon Valley who founded VMware Inc. that debuted virtualization in the data centers of big corporate giants. Basically, virtualization enables a computer to perform tasks of several computers. This was the ability that paved way for Amazon Web Services. 10 years after the launch of VMware, Ms. Greene was fired and in just a day’s time the fate of the company changed.

In the coming months, Google is likely to establish two cloud regions. The company will come up with data centers that will be loaded with software and computers that can be rented over the Internet in Japan and Oregon. More data centers will be established in 12 to 1 months that will either be leased or will be operated under Google.