Google CEO Sundar Pichai admitted that the company's cloud department faces intense competition from Microsoft Azure and Amazon Web Services, but still believes that this particular market is "far from a zero-sum game" Growth of its two major rivals. Following the release of Alphabet's consolidated financial report for the second quarter of the year on Monday, Mr. Pichai once again spoke with the company's Google Cloud Platform, but gave a more friendly perspective on the cloud market in the US and abroad as the company's executives in recent years, often with the aim of downplaying the quality of their competitors. Despite the fact that Google boasts of its growth in this area, the CEO acknowledged that both Azure and AWS have grown as well.
The development raises concerns about Google's long-term prospects in the industry, which are already generating billions of dollars annually in revenues; While the company provides significant resources for innovation and security, especially solutions using artificial intelligence technologies, it is still unclear whether its cloud growth is due to these efforts, or just a side effect of broader industry trends, and is in the market in question is reaching a point of saturation and cloud service providers are starting to compete more directly with each other. Mr. Pichai still claimed that there were "false" platforms for companies to choose from, and predicted that multi-cloud strategies would become a more prominent industry trend in the future.
Google's last step in this segment came in the form of a partnership with an American blockchain digital asset startup to facilitate the process of creating online ledger applications on the Google Cloud Platform. In addition to AI, the cloud sector is currently one of Google's most promising growth paths, even though the segment still does not generate massive profits relative to the size of the company. This division is still pursued as part of Alphabet's Other Bets, which generated $ 4,425 in sales in the second quarter, while the conglomerate's overall record sales reached $ 32.7 billion over the same period.