• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

The millennial generation is split in 2: an older crowd with boomer-style comfort, a younger set going 'back to the early 1900s'

2

College-educated women are snapping up the highest-earning men without college degrees, leaving the rest further behind

3

An 11-year-old is cleaning his neighbors' trash cans for $10 each—he now has 100K followers as teens face the worst summer job market since 1948

1

The millennial generation is split in 2: an older crowd with boomer-style comfort, a younger set going 'back to the early 1900s'

2

College-educated women are snapping up the highest-earning men without college degrees, leaving the rest further behind

3

An 11-year-old is cleaning his neighbors' trash cans for $10 each—he now has 100K followers as teens face the worst summer job market since 1948
TechPointCloud

Google To Amazon: Our Cloud’s Still Cheaper

Barb Darrow
By
Barb Darrow
Barb Darrow
Down Arrow Button Icon
Barb Darrow
By
Barb Darrow
Barb Darrow
Down Arrow Button Icon
January 8, 2016, 5:22 PM ET
Google Hosts Its Annual I/O Developers Conference
Urs Holzle, Senior Vice President for Technical Infrastructure at Google, speaks on the Google Cloud Platform during the Google I/O Developers Conference at Moscone Center on June 25, 2014 in San Francisco, Photograph by Stephen Lam — Getty Images
Add Fortune on Google for similar content.

Amazon, Microsoft, and Google aren’t slashing cloud prices as fast and furious as they did two years ago, but there’s still plenty of smack talk going on.

For example, Google (GOOG) on Friday took to its cloud blog to proclaim that its cloud computing service is less expensive than comparable Amazon (AMZN) Web Services products.

MORE: On cloud price cuts.

To back up a bit, AWS trimmed prices 5% on Tuesday for some Elastic Compute Cloud instances, its 51st cost cut to date across all its services. Elastic Compute Cloud (EC2) is Amazon’s term for units of computing power that it sells or rents to customers. EC2 “instances” are the cloud equivalent of a computer’s central processing unit.

Three days later, Google pointed out that its most comparable custom machine types (Google’s term for cloud computing resources) remain 15% to 41% less expensive than Amazon’s latest price, depending on configuration. And, it provided a helpful comparison chart.

gcp price

Of course this is a discussion that high-level executives may not care about, but the accountants in the chief information officer’s office need to keep an eye on cloud costs. Cloud usage is initially cheaper than buying a lot of hardware and software to run in-house, but hey it still costs money.

WATCH: How Amazon took over the cloud in this Fortune video:

Public cloud computing is the model in which businesses rent computing, storage and networking capacity running in massive data centers run by Amazon, Google, or Microsoft (MSFT), typically seen as the Big 3 in this market. The beauty from the customers’ point of view is they can tap into this huge pool of power without actually having to buy the servers, software, and storage themselves.

The downside is that while the cost is initially cheap, controls can be loose, and mission creep sets in. Developers, for example, can set up computing resources for a job and then forget to shut them down again. Oops!

SIGN UP: Get Data Sheet, Fortune’s daily newsletter about the business of technology.

So price matters when it comes to big cloud buyers, but perhaps a bigger deal for these big companies is making sure they get the sort of service and support from their suppliers that they’ve gotten used to from vendors like IBM (IBM) and SAP (SAP). Who’s responsible, for example, if computing capacity shuts down unexpectedly, for example?

It’s in this arena of appealing to big customers that Google really faces an uphill battle.

Amazon has made headway providing IT-friendly tools like Trusted Advisor, which counsels users on how to make the most of their cloud resources. It also offers consoles that make AWS less foreign to existing network administrators and IT folks.

Microsoft, which is seen as No. 2 in public cloud after Amazon, already has lots of customer relationships in place—what Fortune 500 company is not already a Microsoft shop? But, in this arena, Google, which makes most of its money from search and advertising, still has a lot of work to do.

That’s one reason it brought in former VMware (VMW) CEO Diane Greene to lead its cloud business.

About the Author
Barb Darrow
By Barb Darrow
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • TikTok icon
  • YouTube icon

Latest in Tech

China’s Moonshot, Z.AI, and DeepSeek are challenging U.S. AI labs—and beating them on cost
MagazineChina
China’s Moonshot, Z.AI, and DeepSeek are challenging U.S. AI labs—and beating them on cost
By Nicholas GordonJuly 26, 2026
6 hours ago
Big Tech earnings slam into a market in revolt over AI spending
Big Techearnings
Big Tech earnings slam into a market in revolt over AI spending
By Jeran Wittenstein, Ryan Vlastelica and BloombergJuly 26, 2026
9 hours ago
James Cameron tried to warn us: ‘Skynet Day’ is now shorthand for OpenAI’s agent going rogue and hacking into a startup
AIOpenAI
James Cameron tried to warn us: ‘Skynet Day’ is now shorthand for OpenAI’s agent going rogue and hacking into a startup
By Laurie Kellman, Lindsey Bahr and The Associated PressJuly 26, 2026
9 hours ago
Jeff Bezos says being lazy, not working hard, is the root of anxiety: ‘The stress goes away the second I take that first step’
SuccessJeff Bezos
Jeff Bezos says being lazy, not working hard, is the root of anxiety: ‘The stress goes away the second I take that first step’
By Sydney LakeJuly 26, 2026
14 hours ago
A Gen Xer sold his company for $1.6 billion. He kept less than $100 million and gave the rest away because he doesn’t ‘believe in billionaires’
SuccessHow I made my first million
A Gen Xer sold his company for $1.6 billion. He kept less than $100 million and gave the rest away because he doesn’t ‘believe in billionaires’
By Orianna Rosa RoyleJuly 26, 2026
14 hours ago
The Trump administration has accrued roughly $26.7 billion across 30 equity or quasi-equity deals
EconomyDonald Trump
The U.S. government invested $27 billion in corporate stakes. Good luck finding them
By Eva RoytburgJuly 26, 2026
15 hours ago

Most Popular

The millennial generation is split in 2: an older crowd with boomer-style comfort, a younger set going 'back to the early 1900s'
Real Estate
The millennial generation is split in 2: an older crowd with boomer-style comfort, a younger set going 'back to the early 1900s'
By Nick LichtenbergJuly 25, 2026
2 days ago
College-educated women are snapping up the highest-earning men without college degrees, leaving the rest further behind
Economy
College-educated women are snapping up the highest-earning men without college degrees, leaving the rest further behind
By Mia OsmonbekovJuly 26, 2026
17 hours ago
An 11-year-old is cleaning his neighbors' trash cans for $10 each—he now has 100K followers as teens face the worst summer job market since 1948
Success
An 11-year-old is cleaning his neighbors' trash cans for $10 each—he now has 100K followers as teens face the worst summer job market since 1948
By Orianna Rosa RoyleJuly 25, 2026
2 days ago
Trump pulls back after Iran crosses his red line as U.S. military breaks two-week streak of airstrikes amid talks for potential Hormuz deal
Middle East
Trump pulls back after Iran crosses his red line as U.S. military breaks two-week streak of airstrikes amid talks for potential Hormuz deal
By Jason MaJuly 25, 2026
1 day ago
'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down
Economy
'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down
By Eleanor PringleJuly 24, 2026
3 days ago
I've been teaching college students for decades. Most of them can no longer finish a book
Commentary
I've been teaching college students for decades. Most of them can no longer finish a book
By Austin SaratJuly 26, 2026
18 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.