Cloud Revenue of Google and Amazon Compared
While Amazon and Microsoft are currently leading in the cloud industry in terms of revenue, Google's growth in the cloud segment has also been impressive. Compared to the two leaders, Google is still lagging in cloud revenue. However, the impressive growth it achieved in 2019, signals a stronger performance in the cloud segment in the years ahead.
Amazon versus Google revenue from Cloud services.
|Year||Google Cloud Revenue ($mn)||Amazon Cloud revenue ($mn)|
While Google has more than doubled its revenue from the cloud services in just two-three years, its net revenue from clouds was still just a little above a quarter of what Amazon earned from cloud services in 2019. Google generated $8.9 billion in 2019 from cloud services compared to $5.8 billion in 2018. On the other hand, Amazon's revenue from cloud reached $35 billion in 2019 compared to $25.7 billion in 2018.
Google (Parent company Alphabet), the search engine giant relies mainly on digital advertising as its main source of revenue. The company was founded in 1998 by Larry Page and Sergey Brin who have stepped down from the leadership positions and the company (incuding the parent company) is led by Sunder Pichai. Apart from search and advertising as well as social media (YouTube), the company has also brought a large range of cloud computing products for use by individuals and enterprises. The headquarters of Google (Googleplex) are located in Mountain View, California, United States. Apart from its core business which is Google, Alphabet, the parent company also owns several smaller companies which are collectively called other bets.
Amazon (NASDAQ: AMZN) is the largest ecommerce brand as well as one of the leading cloud services brand. The company which was founded in 1994 has seen enormous growth over the last five years and has greatly extended its range of cloud based services. Amazon has its headquarters in Seattle, Washington, United States. The CEO of Amazon is Jeff Bezos. Amazon Web Services (AWS) is the cloud services platform of Amazon. Amazon is also the largest R&D spender in the entire industry. The company has divided its business into three main segments that include Amazon North America, Amazon International and AWS.