Apple ditches AWS, pays Google for cloud services

In an unexpected turn of events, Apple has decided to ditch Amazon Web Services for some of its iCloud features and switched to Google Cloud, instead.

Whoever thought Google could not compete with Amazon and Microsoft in the cloud computing industry, now would be a good time to reconsider your frame of mind.

CRN says Apple will spend anywhere between $400 and $600 million (up to £418m) on Google's cloud platform, but it was unclear if that is a yearly budget or a set amount of capacity.

“It’s kind of a puzzler to us because vendors who understand doing business with enterprises respect [non-disclosure agreements] with their customers and don’t imply competitive defection where it doesn’t exist," said the AWS spokeswoman in a written statement for the CRN.

Still, everyone expects Apple to ditch all other cloud service providers at some point and go solo.

It is, in fact, already in the process of building three new data centres around the world. The first one should become operational sometime during 2016.

Still, Google will be happy to take some money away from Apple, that’s for sure.

Looking at why Apple decided to replace Amazon with Google, the trick seems to be in the hardware.

"Google is laying a lot more fibre in a lot more areas, so they have a lot more reach [than other cloud players]," Michael Fraser, CEO of InfiniteOps, a cloud vendor that works with Google and other public cloud vendors, told CRN.

The infrastructure also allows Google to offer more competitive prices.