Google’s bags cloud services deal with SpaceX

Google to be the first in Cloud computing market

Alphabet’s Q3 revenue is a whopping USD 65.12 billion owing to online advertisements

Alphabet’s Q3 revenue is a whopping USD 65.12 billion owing to online advertisements

The revolutionary company in space technology that designs, builds, manufactures, and launches highly innovative space rockets by Elon Musk launched a network of satellites – Starlink which is an internet provider. The new venture of launching satellites that operates at 550km above the Earth’s surface in low Earth orbit promise to offer fast internet connectivity to all the users. Earlier this year, SpaceX raised funds for a $74 billion valuation.

The most used search engine – Google bags a deal to offer cloud services to SpaceX. On Thursday Google announced the deal of providing the data centers to SpaceX. As per the deal, the ground stations of SpaceX will be placed in the Google data centers which will offer the highest internet speed by being connected to SpaceX’s Starlink satellites. The service is planned to commence in the second half of 2021. Google invested in the SpaceX project of $1 billion in 2015. 

The internet giant will begin its journey to amplify its share in the cloud computing market before its rivals Amazon and Microsoft.

This deal will attract more investors and being a unique deal in itself it depends on Google’s internal network that connects data centers. The amalgamation demonstrates the potential of the technology by combining cloud with secure connectivity. Until this deal, all the clients reaped benefits from Google’s computing and storage capabilities while this is the first venture to explore Google’s networking capabilities.

 In the first quarter of 2021, the overall Cloud infrastructure services grew 35 percent to US$41.8 billion as per the Canalys report. In the previous quarter, Google Cloud grew 56 % accounting for a 7 percent market share while Microsoft Azure continued to grow to account for 19 percent market share.

The growing needs of customers and the connectivity innovation led to huge interest in 5G connectivity. The cloud providers, therefore, have been keen on the telecommunications industry. To address these needs Amazon teamed up with Dish – a satellite TV network company to expedite the process of offering 5G service to consumers.

The satellite network connectivity is very useful for people in remote regions. However, Microsoft also is planning to join SpaceX by providing modular Azure cloud data centers for Starlink internet.

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