Google slashes cloud prices to draw firms away from AWS

UrsHozle

Urs Hözle

SAN FRANCISCO–Google wants it to be cheaper to build an app in the cloud.

Urs Hözle, Google’s Senior Vice President for Technical Infrastructure, said at today’s Google Cloud Platform Live conference in San Francisco that the company wants to lower the cost of getting into the cloud by making it cheaper to get started with the company’s on-demand services, and provide discounts for users without requiring up-front contracts.

The company is cutting the price of its popular Compute Engine offering by 32 percent, and users wanting to store information in the company’s cloud will only pay $.026 per GB, a 68 percent drop in the cost of storing information with the company.

In addition, the company is introducing sustained-use discounts, which will lower the price for running a Compute Engine instance if it runs for more than 25 percent of a month. The discounts equate to a 54 percent price drop for users who are running a Compute Engine instance 24 hours a day, 7 days a week.

sustained-use

It’s a move that the company clearly hopes will continue to draw users to its platform, which currently has 4.75 million running applications, and 28 billion front-end requests per day.

The announcement comes during a week filled with cloud news. Cisco announced yesterday that it plans to get into the business of providing cloud services by spending $1 billion over the next two years on its “Global Intercloud,” and Amazon is holding its AWS Summit in San Francisco tomorrow.

Let the cloud wars continue. Stay tuned, more to come on this topic.