Google recently decided to step into the market of online data storage called public clouds. While there have already been fierce competitors such as Microsoft, who invests billions of dollars every year to the industry, Google still believe they can take a bite of the meat. This is perhaps their servers contain an unique point of difference among all. Is this actually the case?
According to the article, Goggle decided to cut its price in hopes of attracting more customers and it is also guaranteed that servers will work 99.95% of the time, a more sustainable quality than others.
I think this is a very smart strategy from Google. They realized that they have a rather weak point of difference to attract consumers . Therefore, they moved a step further and lowered the price in hopes of engaging more users to try their service.
Standing from another point of view however, Google might be overwhelmed by their ambition. With a rather shaky product differentiation and having well established competitors in the industry, the search engine giant may not be benefited at all. Although “clouds” are turning to become a profitable business , Google should consider the cost of just staying relevant in the industry. After all, their well-polished brand image of being user-friendly may become their strongest point of difference.