Did Google just doom the lot of small-scale cloud providers?

I feel a little back for Rackspace. If I was doing any hosting of web apps or hosting, I would definitely choose RackSpace as they seemed to cater to individuals and business as well. And they had good packaged up services like WordPress hosting and the like. I would hate for RackSpace to become a victim in the AWS and Google price war. Hopefully all will survive this period and come out stronger on the other side.


About a year ago, I wrote a post comparing cloud computing providers to fast-food chains. I called Amazon(s amzn) Web Services the McDonald’s of the cloud, Rackspace(s rax)the Wendy’s and Google(s goog) — in a close third place — the Burger King. Since then, Google has been steadily creeping up on Rackspace and, on Tuesday, it blew the doors off with massive price cuts, progressive pricing models, and new features that firmly established Google as a visionary and AWS’s primary competition.

Google’s newfound cloud prowess was the major theme of our Structure Show podcast this week. Barb Darrow and I discussed reactions to the news and what it means for other top-tier cloud providers such as IBM(s ibm) Softlayer, Microsoft(s msft) and Rackspace. Our guest, Ben Whaley of Anki (it makes an artificial intelligence-based toy racing system), said that although his startup is a happy AWS shop, Google looks a…

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