Late last year, Apple had quietly inked a deal with rival Google in order to use Google Cloud Platform. Since that deal was struck, it appears that the iPhone maker is minimizing its reliance on Amazon Web Services (AWS), as reported by CRN. Every year, Apple spends approximately a billion dollars on AWS in powering its iCloud, iTunes, and other cloud related services. But the last few months has seen the company reducing its spending on Amazon’s platform, although it seems that Apple has not fully ditched AWS yet, and as of this writing, still remains a customer.
According to the reported published by CRN, high ranking officials from Google have told the company’s partners that its deal with Apple is worth some $400 million to $600 million. However, it has not been made clear yet if those estimates pertain to a full year’s spending, or only to a certain level of scope or capacity.
It was in 2015 that reports began to surface about Apple making efforts to build its own network. The purpose was to establish a faster conduit for its content, as opposed to relying on standard lanes provided by existing providers. The company was also said to be spending $3.9 billion in setting up new data centers located in Arizona in the United States, as well as in other countries such as Denmark and Ireland, all of which should start to become operational before the end of 2016.
In February early this year, there were rumors circulating that Verizon Wireless was in the midst of discussions with Google in trying to create strategic alliances that might result to the development of hybrid cloud services. Furthermore, the biggest wireless carrier in America may be thinking of selling its data center division in a deal worth around $2.5 billion. The move is reportedly part of a bigger initiative to try to reorganize the Big Red’s current portfolio of assets.
Also, Verizon Wireless has also decided to go ahead and shut down a couple of its public cloud service offerings this month, a sensible move considering the intensifying competition brought on by rival services such as Google Cloud Platform and AWS. According to the Big Red, it no longer has plans to continue providing support for Verizon Public Cloud Reserved Performance and Marketplace, even though subscribers can choose to migrate their data to the wireless carrier’s Virtual Private Cloud service.
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