Nvidia’s (NASDAQ:$NVDA) superfast number-crunching processors are among the price cuts that Alphabet’s Google (NASDAQ:$GOOGL) has done on cloud-computing services. These google cloud price cuts were made a week ahead of Amazon’s (NASDAQ:$AMZN) annual software developers conference.
The price cuts were announced in a blog by Google’s cloud platform unit. Nvidia’s superfast “GPU” processors had their prices for customers reduced as much as 36%, according to the website Tech Crunch. Tech Crunch says that using Nvidia’s most advanced processors will now cost $1.46 per minute.
Cloud service providers aim to provide superfast computer processing, even as artificial intelligence software gains in popularity. Google wants to help cloud customers become more competitive by using data analytics and AI tools, and Nvidia’s electronic chips are well-suited for the need by AIs to parallel-process, according to analysts.
Amazon Web Services is the biggest provider of cloud-computing services, and their conference begins Nov. 27, allowing companies to rent computing resources. Microsoft (NASDAQ:$MSFT) follows next as a provider for cloud-computing services, and then Google.
Amazon Web Services has been consistent in their slashing of prices for cloud services since 2006, their aim is to attract new customers that would otherwise process business workloads in their own data centers. Therefore, by Google participating in this price slash and doing so before Amazon’s conference, the latter entrant into the cloud service market has aimed to grab shares from Amazon Web Services and from Microsoft.
Cloud services can cost customers from as little as pennies an hour per server, up to $1-$2 an hour, depending on the workload type.
Investor’s Business Daily’s take on this all is that Alphabet stock has been consolidating after its climb above the technical buy point of 1008.71. Given that the stock is trading above its 50-day moving average, things are looking up.
Google has announced a cloud partnership with Salesforce.com (NYSE:$CRM) and with Cisco Systems (NASDAQ:$CSCO).
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