GoDaddy is giving up on a business that it debuted just a little over a year ago.
GoDaddy confirmed to Fortune that it is shutting down the business unit, but did not say why. Tech news site TechCrunch first reported the planned closure.
“After serious consideration, we have decided to end-of-life our cloud servers’ product,” GoDaddy senior vice president of hosting Raghu Murthi said in a statement. “GoDaddy Cloud Servers provided numerous learnings for us that we’ve already been applying to other products and services.”
In this public cloud business, companies like Microsoft (MSFT) and Google (GOOG) sell on-demand computing resources to customers, alleviating the need for those customers to buy and maintain servers internally and related data center hardware.
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GoDaddy built its cloud business using the open-source OpenStack software, used by companies to mimic some of the computing capabilities of cloud providers like AWS within their own data centers. The website hosting company wants to continue using the OpenStack software, but it’s unclear at this point how it plans to do so.
“We’re proud of what we built and now we are focusing on building a robust and scalable solutions based on OpenStack infrastructure,” said Murthi.
GoDaddy faced stiff competition from bigger companies like AWS, Microsoft, Google, and IBM that have been selling cloud computing services for a number of years. Additionally, Oracle has also been pushing its own revamped cloud business that’s likely to have made it difficult for a smaller company like GoDaddy to compete.
GoDaddy was pitching its cloud business to small-and-medium sized businesses.