Spotify is moving its data onto Google’s cloud platform, and the company’s saying this is a great step ahead for the streaming music service.
About a decade ago, the Swedish startup started its business with a small number of machines located in a Scandinavian data center. After their popularity increased, they expended into data centers in the United Kingdom and the US.
But now it was time for Spotify to completely clear out of these data centers and make the transition to Google’s cloud computing services operated, which claims to offer its clients unusual speed and efficiency.
Cloud computing is a business of the future, so much so that Google says that ten years from, this business will generate more money than online ads.
However, Amazon was the one to pioneer the idea, and it definitely dominates the cloud market; but Amazon is closely followed by Google and Microsoft in offering businesses a way to outsource their computing infrastructure.
When Spotify was a startup in 2006, cloud computing wasn’t a viable alternative to data centers. Amazon was only just experimenting with cloud storage, and Nicholas Harteau, Spotify’s VP of engineering and infrastructure, said they “couldn’t get the quality, the reliability, the price out of cloud services that we needed.”
But now, the cloud has it all. The company has already transferred around 250,000 user accounts onto Google’s cloud services – only 19 million more subscribers to go, and the 55 million additional users. The move will be complete within the next 18 months.
Even though Google, Microsoft, IBM and Rackspace are all competing for a slice of the cloud market, Amazon leads by an enormous margin. Google has some way to go before it sets up the kind of business-to-business relationships required by the cloud.
But Spotify is definitely a prize worth claiming as Google seeks to get a bigger influence in the cloud computing field. Even though Harteau refused to reveal the details of the arrangement, he said Spotify had plenty of reasons why it chose Google.
For example, Google has services for analyzing large amounts of data, such as the tool called BigQuery, which are far more advanced than the offerings from other cloud providers. And it’s crystal clear that Google made Spotify a deal it couldn’t refuse, just so it could their high-profile name to its client list.
Thanks to this competition between Amazon and other companies in the cloud market, businesses interested in moving their services into the cloud can get better deals, just like Snapchat.
Image Source: The Next Web