Amazon (NASDAQ:AMZN) expects to generate a windfall in its cloud service vertical after its latest maneuver in the cloud drive space. Amazon has rolled out unlimited cloud data storage plans for lay customers, thus immediately setting it apart from other cloud storage services being offered by Google and Dropbox, which had focused their unlimited plans for professional purposes.
Amazon’s philosophy of customer-centrism can easily be explained as the chief reason behind its latest announcement of unlimited cloud storage facilities. Users of its cloud storage service Amazon Cloud Drive can choose between a ‘Photo Plan’ and an ‘Everything Plan’. Under the photo plan, users can upload unlimited number of photo media on Amazon’s cloud drives. With the photo plan, there is a 5 GB restriction for uploading and storing non-photo media such as videos or documents. On the other hand, the ‘Everything Plan’ permits a user to make unlimited uploads of any type of media.
The core ethic that drives Amazon is the organization’s obsession with pleasing its customers. Perhaps, that could be offered as an explanation for the dirt cheap and throwaway prices at which these plans are being made available. For the ‘Photo Plan‘, a user has to shell out only $12 a year. For the ‘Everything Plan‘, it’s a mere $60 a year. These price points are definitely expected to pull downwards, the higher charges being levied by Google and Apple for their cloud drives. While Google charges $300, which is reasonable for a 30 TB space, Apple charges a ridiculously high sum of $240, considering the fact that the cloud space allowed to a customer is a mere 1TB.
The ‘Photo Plan’ is available for free to Amazon Prime members as well as Fire device owners. Although, Amazon’s cheaper cloud options may not drive the sale of other Amazon offerings as they are not bundled, Amazon’s latest move may force people to re-think their decisions about purchasing physical hard drives that start from $250 a 1 TB pop. With exactly that same amount, Amazon’s users can have access to an unlimited digital space coupled with Amazon’s guarantee that will ensure safety of data, which is something not a surety in case of external hard drives that are notorious for crashing at the least unexpected times.
Through this announcement, Amazon has not only threatened cloud service providers, but also shaken the boots of external hard disk manufacturers who will have a very price-competitive adversary to battle. It’s no wonder that Google’s founders consider Amazon as their rival instead of considering other search engines as the competition.
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