Google moves parts of the popular YouTube video service from private data centers to its own cloud computing service, Google Cloud.
Announced by Thomas Kurian, CEO of Google Cloud, this move is presented as an attempt to show the resilience of the company public cloud Platform. By partially hosting the second most popular website on the internet, Google Cloud can show that it deserves a place at the table of top rivals Amazon Web Services (AWS) and Microsoft Azure.
“Part of the evolution of the cloud is that our own services are using it more and more, and they are,” said Kurian. CNBC in an interview.
He added that the Google workspace suite of productivity apps, as well as the Waze navigation app and DeepMind artificial intelligence research group, also rely on Google’s cloud infrastructure.
Declaration of Intent
Notably, Microsoft and Amazon have in the past moved their popular online properties to their respective cloud platforms. However, none of them can compete with YouTube in terms of scale of operation.
The cloud is not Google’s strong point compared to its competitors, especially AWS. While AWS is one of Amazon’s main revenue streams, Google’s cloud division is still pulling on its profit margins.
For example, in the first quarter of 2021, AWS recorded 32% growth over one year with revenues of $ 13.50 billion. On the other hand, Google Cloud took in $ 4 billion, but reported a operating loss of $ 974 million in the same period.
Migrating parts of the most popular video sharing platform to Google Cloud could provide the boost the service needs.
Going through CNBC