Re:EU shoots for €10B ‘industrial cloud’ to rival US
by juskrey on Sunday October 18, 2020 @10:03AM
(#24817956)
AWS is a corporate parasite - this is their real main offering, which feeds unnecessary or already unavoidable existing complexities. Being a long time AWS user myself (like in half of my projects), first thing I do with any new client, is try hard to persuade not to use AWS.
Re:EU shoots for €10B ‘industrial cloud’ to rival US
by cblconfederate on Sunday October 18, 2020 @10:34AM
(#24818133)
Whats the moat of their software? These things are easy to duplicate (judging by the number of competitors they already have). Also keep in mind that cloud is being fed by a massive tech bubble and free money that leads to overspending. If every big tech co (amazon, ms, google, ibm etc) becomes a cloud provider offering the same services, how do they plan to maintain high premiums?
Re:EU shoots for €10B ‘industrial cloud’ to rival US
by barumi on Sunday October 18, 2020 @11:00AM
(#24818299)
> Hetzner doesn't compete with AWS, Azure or Google Cloud.
This assertion makes no sense at all. I mean, if you're in the business of getting an online business up and running, it seems to me that both do provide the infrastructure that allows you to achieve your goals.
Arguably, AWS and GCP have more data centers spread throughout the world, but beyond unicorn-scale companies you'd be hard pressed to find any business that does need that sort of infrastructure. Yet, when you're at that scale you're far better off running your own infrastructure, both in terms of cost but also reliability.
They compete primarily with companies like DigitalOcean, Linode, Vultr, OVH, Scaleway and traditional co-location and dedicated hosts.
Look at the software offerings from Hetzner, they're barely existent. AWS and Hetzner are very clearly not in the same business. AWS makes its money primarily off of software services, Hetzner makes money primarily off of primitive (basic) hosting. The AWS software side of the business has enormous margins compared to the primitive hosting side. You'll find that Hetzner barely has any margin, as with all the others in their segment. Meanwhile AWS is a half a trillion dollar global juggernaut, funded by its software margins.