Welcome to the Cloud Wars Minute — your daily news and commentary show, hosted by Cloud Wars Founder, Bob Evans. The next three minutes are packed with insights and perspectives around the “reimagination machine” that is the Cloud! Today’s Topic: Google Cloud on the Path to Profitability
Highlights
0:03 – Thank you to Redis, our Cloud Wars Sponsor! Open source Redis and Redis Enterprise help businesses serve up data in a way that dazzles their customers. Look out for an article on Redis’ real-time data platform next week.
0:30 – Since we last covered Google Cloud’s revenue growth and trends a quarter ago, the company continues to move in the right direction. It’s the fastest-growing company in the Cloud Wars Top 10. But there are a couple trends to keep an eye on.
01:24 – As Google Cloud grows larger and larger, it is achieving economies of scale that’s allowing it to decrease its losses both overall and as a percentage of its revenue.
01:38 – But if you look back one year ago at Q2, their overall losses and the percentage of revenue represented by the loss were actually lower than the equivalent numbers for this year. This should not be super alarming, but it is worth looking out for in terms of the company’s future growth.
02:28 – The bigger picture is that Google Cloud’s growth is outstanding. Bob says they’re on the path to profitability and will probably hit breakeven within 3 or 4 quarters from now.
