TLDR
- Amazon and Google unveiled a multicloud networking service that connects their platforms in minutes instead of weeks
- The announcement follows a $650 million AWS outage that disrupted major apps like Snapchat and Reddit
- Salesforce is testing the new connectivity solution as an early adopter
- AWS pulled in $33 billion in Q3 revenue compared to Google Cloud’s $15.16 billion
- The service combines AWS Interconnect-multicloud with Google Cloud’s Cross-Cloud Interconnect technology
Amazon and Google dropped a surprise partnership on Sunday. The two cloud rivals launched a multicloud networking service designed to fix connectivity headaches.
The service slashes setup time for private connections between AWS and Google Cloud. What used to take weeks now happens in minutes.
This isn’t just a minor upgrade. The launch comes six weeks after an AWS outage that crashed thousands of websites on October 20.
That single disruption knocked Snapchat and Reddit offline. Analytics firm Parametrix estimates U.S. companies will lose between $500 million and $650 million from that event alone.
How the Technology Works
The new offering blends AWS’ Interconnect-multicloud with Google Cloud’s Cross-Cloud Interconnect. This combination creates better network interoperability between the platforms.
Robert Kennedy from AWS called it a fundamental shift in multicloud connectivity. Rob Enns at Google Cloud said the joint network simplifies moving data and applications between clouds.
The pitch makes sense. More companies are splitting their operations across multiple cloud providers to avoid single points of failure.
But managing connections between different clouds has been a pain. This service aims to eliminate that friction.
Market Dynamics
Salesforce jumped in as an early user. The CRM leader is already testing the new connectivity approach.
AWS dominates the cloud market as the world’s largest provider. Microsoft Azure sits in second place. Google Cloud trails in third.
The revenue gap tells the story. AWS generated $33 billion last quarter. Google Cloud brought in $15.16 billion during the same period.
That puts AWS at more than double Google’s cloud revenue. The partnership gives Google a way to make its platform more appealing without directly competing on every feature.
Infrastructure Investment
All three major cloud providers are dumping billions into infrastructure upgrades. The rush stems from exploding demand for artificial intelligence computing power.
Internet traffic keeps climbing as AI applications multiply. Companies need reliable connectivity to support these resource-hungry services.
Cloud outages have gotten more expensive as businesses become more dependent on these platforms. The October AWS disruption proved how costly downtime has become.
The new service addresses reliability concerns head-on. Faster setup times and improved connectivity could prevent future disruptions.
AWS delivered strong growth numbers in the third quarter with $33 billion in revenue. Google Cloud generated $15.16 billion in the same period.
The post Amazon (AMZN) Stock: Amazon and Google Launch Joint Multicloud Networking Service appeared first on Blockonomi.
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This articles is written by : Nermeen Nabil Khear Abdelmalak
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