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Google cuts jobs at cloud-computing group

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Re: Google cuts jobs at cloud-computing group

#301

Earlier quoted context omitted.

Do you think SAP will come up with a cloud provider to compete with aws and the like? I don't know if there is another European software company big enough for that.

In my opinion, the issue for European "cloud" service isn't so much the infrastructure. There are already fairly large hosting companies like OVH, Hetzner… But on the software side it's lacking. And suggesting SAP might bridge the gap for software quality would get a laugh from anyone who regularly uses their product.

Not to disagree about the quality of SAP's product but realistically if not for us based cloud providers they're going to be stuck with Yandex cloud or Baidu.

Re: Google cuts jobs at cloud-computing group

#302

I'm going to make an outrageous prediction: due to the changing geopolitical landscape which has been going on since 9/11, loss of trust in the US as a "leader" that can keep the data safe, we will move away from the cloud and back to a model where data sovereignty trumps all else. This will be enabled by changes to the underlying infrastructure - moving away from BGP and adopting (BGP backward compatible) protocols…

I think there will also be an enormous drop in revenue once the next recession comes. A lot of loss-making companies, aiming to grow as fast as possible using VC money, use cloud providers because it's one less thing they have to learn how to do. If they have an actual business model, like Dropbox, they eventually self-host. If they don't, and didn't really expect to have to develop a business model other than "grow…

You should check infrastructure costs for band or other big enterprises... Those companies move to the cloud because it's cheaper...

Re: Google cuts jobs at cloud-computing group

#303

Earlier quoted context omitted.

This response is just rude and adds nothing to the discussion.

It is rude, but the OP says "the cloud is dead" What!? That deserves to be called out.

OP prefaced by saying "outrageous prediction" - admitting plainly its pure speculation. If s/he didn't do that, that would be something that deserves to be called out.

Re: Google cuts jobs at cloud-computing group

#304

Earlier quoted context omitted.

Do you think SAP will come up with a cloud provider to compete with aws and the like? I don't know if there is another European software company big enough for that.

In my opinion, the issue for European "cloud" service isn't so much the infrastructure. There are already fairly large hosting companies like OVH, Hetzner… But on the software side it's lacking. And suggesting SAP might bridge the gap for software quality would get a laugh from anyone who regularly uses their product.

My feeling about european cloud providers (OVH, Hetzner, Scaleway, Irideos) is that their main fault is not approaching their business like AWS does.

In the sense of being customer centric, offering thorough services, standardizing and operating on thin margins in order to reinvest most of their profits into the company itself.

A lot of small players in the cloud fields either offer an incomplete set of services, or adopt hardly-scalable models of operations.

If you want to at least have a chance of winning european customers concerned with data privacy and stuff from AWS you should try to replicate their pros -- offer a compelling alternative.

Re: Google cuts jobs at cloud-computing group

#305

Many theories and opinions . Here is an observation from someone involved with GCP more than many of you (especially more than the WSJ journalists) - These job cuts are not an indication of the health (or lack of it) of GCP division. From the familiarity I got as a partner, it's probably the consolidation of the sales function. Inside Sales Reps (ISRs) being moved to Field Sales Reps (FSRs) and some of the ISRs being…

>being asked to find jobs elsewhere One of the worst euphemisms for being fired that I've heard.

Elsewhere within the company.

Re: Google cuts jobs at cloud-computing group

#306

Earlier quoted context omitted.

It's a for profit company with a fiduciary responsibility to share holders. There is zero reason to find jobs for people regardless of the cash position.

Here's a couple: 1. Google's tech staffers are supposed to be some of the top people in the world, and Google spends a considerable amount of resources hiring them. It seems foolish not to keep them on the bench a bit, unless Google foresees that it will be shrinking soon. 2. The people not laid off will very much notice their colleagues being zapped the moment they're not needed. They will rationally tilt towards le…

No one got laid off. Mobility within the company is very good, they just need to find a new role.

That's not always trivial, and I'm sure some will leave the company, but none have to if they don't want to.

Re: Google cuts jobs at cloud-computing group

#307

I don't have any knowledge of this, but it sounds to me a lot like a typical everyday re-org or "defragmentation" that happen frequently. Defragmentation example: they have a team with 12 people in California, 5 in New York, 2 in Seattle and 3 in Zurich. They decide to move all roles into one location instead of having the team split all over. If you don't want to move with the role, then you need to find something n…

I hope you’re right. My team have chosen Google Cloud. With every news like this one, the risk that Google will shutdown its cloud division seems more and more likely to happen.

No. I don't work for Google but that earlier unfortunate piece from the inaptly named "The Information" represents a complete misinterpretation of management-speak and a fundamental misunderstanding of cloud market dynamics.

Google will be in the "cloud" business until the heat death of the universe, but what "cloud" means and where the respective monsters go looking for their next meal and how much capital they put into what kind of hunting is going to continue to change and evolve.

For many businesses that are eg large market-like B2B plays I would be more worried about greedy AWS looking up at me and deciding they would like my position and a larger share of my sweet, sweet revenue stream. Those mofos are apex predators and understand there is no problem that cannot be solved with another API.

These are interesting times, but for commodity cloud consumers there is no future in which Google suddenly decides that with the hundreds of billions of capitalized data center investment it makes sense to "shutdown" its cloud business. This is not Reader.

Re: Google cuts jobs at cloud-computing group

#308

Earlier quoted context omitted.

It's software as a service. Of course you can.

> It's software as a service. Of course you can. Which is directly tied to the underlying hardware. That they already optimize to death.

All cloud providers charge several times what the underlying hardware/electricity/peering is actually costing then. If the goal is to become immediately profitable rather than continue growing, then just stop reinvesting money into the business in the form of hiring and new data center construction.

Re: Google cuts jobs at cloud-computing group

#309

I'm going to make an outrageous prediction: due to the changing geopolitical landscape which has been going on since 9/11, loss of trust in the US as a "leader" that can keep the data safe, we will move away from the cloud and back to a model where data sovereignty trumps all else. This will be enabled by changes to the underlying infrastructure - moving away from BGP and adopting (BGP backward compatible) protocols…

The feeling into "fact" flow: Step 1) "I don't like thing" Step 2) "I really wish thing didn't exist." Step 3) "Thing is probably dying/dead." Step 4) "If event happened, it would really show thing is dying/dead." Step 5) "Event can happen." Step 6) "Event will happen." Step 7) "Event is happening!" Step 8) "Events 1, 2 and 3 can/will/are happening which forms a narrative proving thing is dying/dead." Have you consid…

While I am not a fan of the closing sentence of this comment, the steps and flow are something I observe regularly today (in person and online). Is there a phrase for this type of information transformation?

Re: Google cuts jobs at cloud-computing group

#310

I'm going to make an outrageous prediction: due to the changing geopolitical landscape which has been going on since 9/11, loss of trust in the US as a "leader" that can keep the data safe, we will move away from the cloud and back to a model where data sovereignty trumps all else. This will be enabled by changes to the underlying infrastructure - moving away from BGP and adopting (BGP backward compatible) protocols…

I think there will also be an enormous drop in revenue once the next recession comes. A lot of loss-making companies, aiming to grow as fast as possible using VC money, use cloud providers because it's one less thing they have to learn how to do. If they have an actual business model, like Dropbox, they eventually self-host. If they don't, and didn't really expect to have to develop a business model other than "grow…

Dropbox is a poor example to generalize from, since in a very real sense they're a cloud provider. They make bank directly on server administration, so cheaper servers translate directly to the bottom line. They would have to be incredibly foolish not to in-house this at some point.

Most SaaS etc. businesses make money in a way that is indirectly related to their server costs. Bringing the cost of servers down increases margin ceteris paribus, but the Latin is doing a lot of heavy lifting here.

It's not at all clear to me that the median AWS customer can save money by going self-hosting. If I had to bet money on it, I'd bet against it.

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