Amazon Strikes Back at Google

Mar 27 2014 | by Vittaly Tavor

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By the time I wrote yesterday about the impact of Google’s recent price cuts and their revolutionary “sustained usage discount” pricing model, AWS had struck back with their own price reductions and updates, once again leveling the competitive cloudscape.

As the tables below show, Amazon’s new pricing closed the gap between their Reserved Instance pricing and Google’s sustained usage discounts, for comparable EC2 and GCE instances.

vit 12

vit 2

vit 3

AWS’ m1.large Heavy RI and their more powerful m3.large, with Medium RI pricing, are now roughly equivalent to Google’s most discounted cost for the comparable GCE n1-standard-2 instance.

Hey Google – Don’t Be Shy About Your Strengths
What is interesting is that Google seemed to focus on GCE pricing. While not insignificant, IMHO, they should have emphasized things like their super-fast I/O. To match Google’s performance for their persistent disk speeds on AWS, you’d need to purchase an IOPS-provisioned volume, which may cost you 50 times as much as it would on Google.

Another unsung Google advantage is that their storage is much faster than Amazon’s. In many cases, while on AWS you would need a CDN to use with S3, on Google you could serve the content directly from the storage. This could be a huge potential saving on CloudFront.

In general, Google should market its performance strengths – and not in niche applications like a video streaming – but in general-purpose legacy applications, databases etc.

In addition to focusing on their strengths and making DevOps aware of those, Google should pick up the pace to close all service gaps. For example they should add an instance with huge memory to fulfill the needs of applications like Mongo DB and the like.

Bottom Line – Cloud Cost is NOT Getting Easier to Manage (Unless You Use Cloudyn Of Course)
All the different pricing models for multiple cloud vendors continues to make cloud cost management a very significant challenge for enterprise finance and IT groups.

Activities like capacity planning, forecasting, chargeback and minimizing wasted resources are becoming more complex in the multi-cloud environment. Fortunately, Cloudyn’s tools for enterprises and MSPs have got your cloud covered. So c’mon over and check out our free trial.

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