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Apple kicks Amazon to the curb, signs iCloud deal with Google

Just four months after Google enlisted Diane Greene as its SVP of cloud businesses, Google Cloud Platform has landed Apple as customer, reports CRN.

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Amazon.com (AMZN – Get Report) stock is declining 2.40% to $560.51 in mid-afternoon trading on Thursday, as Alphabet’s (GOOGL) Google Cloud Platform won Apple (AAPL) as a customer in a blow to Amazon.com’s Amazon Web Services, sources told CRN.

Apple, one of the biggest users of Amazon’s cloud services, has reportedly chose to shift some of that cloud infrastructure to Google’s cloud. In a foreboding note published last month predicting that Apple and Amazon would part ways, Morgan Stanley analyst Brian Nowak estimated that Apple spends about $1 billion on A.W.S. services, making up roughly 9 percent of A.W.S.’s expected 2016 revenue. More details at the link below… “A new set of reports claims that Apple has had to sign up with Google’s Cloud Platform to help power its own cloud storage service”.

If the above is to be believed, it will be a big boost to Google’s cloud platform that is trying cement its position as one of the top three public cloud providers.

Apple hasn’t fully defected from Amazon Web Services, according to CRN.

Google’s market share in cloud computing market has remained low compared to that of Microsoft and Amazon.

“It’s really common knowledge in the industry”, Chowdhry said, especially as the drum beats louder the closer the industry comes to Google’s cloud conference next week. Despite AWS’ market dominance, which some insiders attribute to it being first to market, offerings like Azure and Google are becoming more attractive propositions thanks in part to company and talent acquisitions. At the same time, Apple is busy building data centers in the US and Europe, so it is likely that the company will eventually have its own cloud service platform.

Neither Google nor Apple immediately responded to PCMag’s request for comment. Currently Google sits fourth behind AWS, Microsoft Azure and even IBM SoftLayer despite having the second-highest growth rate.

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Apple is setting up a data command center in Mesa, Arizona.

Apple Inc Looks to Alphabet Inc Google to Power a Part of its Cloud Services Platform