Google Announces An Impressive Array Of Cloud Price Cuts And Enhancements

At Google Cloud Platform Live, Google just announced a range of enhancements to its Infrastructure as a Service, Platform as a Service and Big Data analytics platforms. For starters, Google announced price cuts to its Google Compute Engine platform ranging from 30-85%. Prices for Google’s Infrastructure as a Service offering will be slashed by 32% for all “sizes, regions and classes.” Meanwhile, Google Cloud Storage and Google BigQuery experienced price reductions of 68% and 85% respectively. Google simplified the pricing of its platform as a service, Google App Engine, and reduced it by roughly 30%. In addition to price cuts, Google unveiled an analogue to the Amazon Web Services product reserved instances which provides deep discounts on VM pricing in the event they are used for one or three year time periods. Branded “Sustained-Use Discounts,” Google offers price cuts on top of its already announced reduction for customers who use a VM for more than 25% of a given month. Customers who use a VM for an entire month can see additional discounts of up to 30%, resulting in price cuts of over 50% compared to original prices given today’s other price reductions. Google is also launching BigQuery Streaming, an enhancement that enables the BigQuery platform to consume 100,000 rows of data per second and render the data available for real-time analytics in ways comparable to products such as Amazon Kinesis and Treasure Data. Moreover, Google announced a Managed Virtual Machines service that allows users to configure a virtual machine to their own specifications and subsequently deploy the VM to the Google App Engine infrastructure, thereby giving developers more flexibility vis-à-vis the type of machine managed that can take advantage of App Engine’s auto-scaling and management functionality. For developers, Google announced integration with Git featuring automated build and unit testing of changes committed as well as aggregated logs of testing results. Finally, Google revealed the general availability of Red Hat Enterprise Linux and SUSE Linux Enterprise Server and Windows Server 2008 R2 in limited preview for VMs.

All told, today’s price cuts and news of functionality represent much more than a price war with Amazon Web Services. Just a day before the AWS Summit in San Francisco, Google confirmed the seriousness of its intent to increase traction for its development-related cloud-based products. The variety of today’s enhancements to Google Compute Engine, Google App Engine, BigQuery and the introduction of its Managed Virtual Machines service indicate that Google is systematically preparing to service the cloud computing needs of enterprise customers. Despite all the media hype over the last two years about companies gearing up “take on Amazon,” no other cloud vendor has even been close to the depth of IaaS features and functionality possessed by Amazon Web Services with the exception of Google as it revealed itself today. All this means that we now have a two horse race in the Infrastructure as a Service space until the commercial OpenStack community convincingly demonstrates the value of OpenStack-based cloud inter-operability in conjunction with richness of features and competitive pricing.

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