Diane Green of Google has staged a successful coup. After only four months with the search giant, she was able to persuade Apple to switch from Amazon to Google's fledgling cloud computing business.
A recent report said that Apple has signed a contract to use the internet search giant's Cloud Platform. The amount of the contract is between $400 million to $600 million. This is bad news for Amazon's online selling business.
However, it is not indicated if the said amount is for the total contract value or just a yearly service fee. It is also unclear if the amount will be taken away by Apple Inc from its previous contract with Amazon Web Services - its current cloud service provider.
However, the tech giant is not totally quitting the cloud services of AWS. But if this recent move is a shift in its budget, it could mean that the Cupertino, California-based tech firm will cut its AWS spending by almost half of the former amount.
This switch marks a high-profile win for the internet search giant since it came under the new leadership of Green. The move from Amazon to Google by the computer giant is a part of its broader diversification strategies for its wide range of internet services. These services include iCloud backups like video downloads and photo storage.
In the field of cloud computing, Google has always been a far third from the two leading players such as Amazon and Azure of Microsoft. But in February, Google landed a big win when Spotify made big leaps since Diane Green was appointed as head of the department in November.
Being characteristically secretive, Apple Inc. did not talked openly about being a customer of AWS. But its utilization of its cloud services as well as that of Microsoft's Azure has been widely reported.