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Google Cloud Outages Expose Vulnerability of Major Providers, Underscore Benefits of Niche Cloud Computing Players

June 2019 by HEFICED

Businesses choose alternative cloud providers for customized solutions that offer ability to rapidly adapt and provide more personalized customer support

Earlier this month, Google Cloud experienced an outage which not only affected Google’s products like Gmail and YouTube – other businesses using Google Cloud, such as Shopify, Discord, and Snap were also disturbed. Later in the month, Google Calendar went down, creating new incentives to discuss why dominant providers shouldn’t be default cloud options for every enterprise. Personalized solutions, better customer support, and the ability to rapidly adapt to the changing landscape are the reasons why businesses choose alternative providers.

The global cloud computing market is forecasted to develop from USD 271.96 billion in 2018 to USD 623.93 billion by 2023, at a compound annual growth rate (CAGR) of 18.1%. The bulk of the market share is being split among a couple of tech giants, but a growing number of niche cloud computing businesses are carving out a market space for themselves among companies offering VPN, business intelligence, email marketing, and other services.

“No provider, big or small, is immune to downtime, but smaller providers have capabilities to solve unique issues quicker. Niche providers invest more time in every customer interaction and can react to customers’ needs faster,” said Vincentas Grinius, CEO of Heficed, a cloud, dedicated server and IP address provider.

Another competitive edge providers like Heficed hold is the speed in which they can have a new in-demand location up and running. Speed in opening new locations based on real-time needs is essential for any cloud provider save the behemoths of the industry.

“We can leverage our compact corporate structure and readiness to launch new locations by making decisions fast and acting upon them. Businesses in need of network infrastructure services in locations not covered by other providers do reach out and, in many cases, we can have servers ready for them within weeks,” commented Grinius.

General tendency to be immensely customer-driven appears to be paramount among the niche providers. Automation of service management, a user-friendly API, and overall flexibility are three key factors that power alternative cloud providers.

“In general, smaller providers are employing a customer-driven approach to do business. We can’t compete with the global coverage that bigger market players provide, but our services are tailored to fit individual cases, not general trends,” added Grinius.

The rapidly expanding cloud computing market will keep creating new opportunities, and the need for custom solutions and personal approach will continue to keep the playing field from being dominated by a few tech titans.




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