The latest quarterly earnings reports from Microsoft and Google showed their cloud revenues are surging. This means there are still many businesses that are at the very start of their cloud journeys. The good news for the cloud infrastructure providers is that the market has not peaked and according to technology industry analysts, IDC, the cloud infrastructure market will be worth $1 trillion in the next two years.
With so much market potential to be explored, why are some cloud providers living an unhappy coexistence with each other?
Time to kiss and make up?
Frictions between Amazon and Microsoft recently came to the fore during the (now aborted) US Department of Defence’s multi-billion dollar contract to provide the next generation infrastructure need by the department. Although Microsoft was initially handed the contract, no work ever happened as the two tech giants contested the deal in the courts.
Enough time had passed where the original brief from the Department of Defence was now outdated and made the smart move, in my opinion, to explain why moving from a single to multi-vendor relationship was more sustainable for the US Government in the long term. With the US Government opting for a best-of-breed approach to cloud computing, have they set the example for future cloud infrastructure tenders and requests proposals?
The multi-cloud could keep regulators happy and tell richer stories for the press
The record revenue growth achieved by the major cloud providers will not have gone unnoticed with the regulators on both sides of the Atlantic. Indeed, regulators in the European Union have called for the creation of regional cloud infrastructure from cloud companies to combat the perceived domination of American businesses. Promoting the multi-cloud approach would leave room for a local cloud provider to add further competition, which is a win-win for end-users as new services could be delivered faster.
From a media relations standpoint, the variety offered by the multi-cloud approach would provide richer stories as to how businesses and public sector organisations got the very best out of the cloud for their customers and citizens. It is interesting to note, based on our analysis of media coverage across 17 European countries, that revenue success is not directly linked to coverage success. Google Cloud pushes above its weight in the media taking 28%, while Microsoft Azure and AWS have 29% and 43% of the share respectively.
Renewing the cloud vows for a more vibrant, sustainable future
The recent quarterly earnings show there are still many organisations that have yet to fully embrace cloud computing. The means the major cloud companies have the room to nurture and build trustworthy relationships with their customers.
These BigTech companies can live happily ever after. I believe there are more learnings that can be shared between the cloud providers as the world seeks to overcome the economic inequalities exacerbated by the pandemic and the environmental catastrophe, we are pushing future generations into.
The race towards broader brand recognition and commercial success in the cloud is nowhere near finished. In fact, it’s only the beginning. Opportunity is aplenty for those who can carve out their space and story. It’s a great time to pick up those metaphorical shovels and dig into the heart of how cloud computing is helping individuals, companies, and nations reinvent themselves.
If you are a cloud-based company that need a helping hand in finding your story to tell, please get in touch via [email protected]