Amazon and Google Launch Multicloud Service to Enhance Connectivity

Amazon.com Inc. and Alphabet Inc.’s Google have collaborated to launch a new multicloud networking service aimed at improving internet connectivity. Announced on October 1, 2023, the service allows customers to create private, high-speed links between Amazon Web Services (AWS) and Google Cloud within minutes, significantly reducing setup time compared to previous methods.

This initiative addresses the growing demand for reliable connectivity, especially as even brief internet disruptions can result in considerable service outages. The new service combines AWS’s Interconnect-multicloud capabilities with Google Cloud’s Cross-Cloud Interconnect, enhancing network interoperability for users.

Key Features of the New Service

The collaboration between Amazon and Google is significant, particularly in light of an AWS outage in October that affected over 1,000 websites and services due to a rare software bug. This incident underscored the urgent need for improved network reliability.

Robert Kennedy, Vice President of Network Services at AWS, emphasized that this partnership represents a “fundamental shift in multicloud connectivity.” His comments reflect the strategic importance of this service in fostering more robust cloud networking solutions. Meanwhile, Rob Enns, Vice President and General Manager of Cloud Networking at Google Cloud, noted that the new network simplifies the process for customers looking to move data and applications across different platforms.

Among the early adopters of this multicloud service is Salesforce Inc., showcasing its appeal to major enterprises seeking enhanced connectivity options.

Market Context and Future Plans

The launch of this service aligns with AWS’s ongoing expansion. AWS operates a vast network of over 900 data centers across more than 50 countries, bolstered by hundreds of colocation facilities that contributed to approximately 20% of AWS’s total computing power in 2024. AWS reported a remarkable $33 billion in revenue for the year, marking a 20% year-over-year growth, its fastest pace since 2022. This figure is more than double that of Google Cloud’s $15.16 billion revenue.

In a statement about future developments, AWS plans to establish a partnership with Microsoft Corp.‘s Azure in 2026, further diversifying its multicloud offerings.

As Google Cloud continues to make strides in the competitive cloud services market, its annual revenue run rate has already surpassed $50 billion. The introduction of this new multicloud service is expected to enhance its attractiveness to customers seeking reliable and efficient cloud solutions.

According to Benzinga’s Edge Rankings, Amazon.com ranks in the 74th percentile for quality and the 46th percentile for value, reflecting its mixed performance in the market.

This joint venture not only highlights the ongoing evolution in cloud computing but also signals a collective response to the pressing need for reliable connectivity solutions in an increasingly digital world.