[okrasz]

For competition, there are already other services backed by large companies: MS Azure added VMs recently, HP Cloud, IBM Smart Cloud, Rackspace obviously. And there are also many other providers. So competition is there already. You can compare prices with http://www.cloudorado.com/ and you may already find AWS is quite often not so cheap. So why Google is supposed to change the picture that much?

[Peeda5]

Well its not just about the cost. All those companies have limited features, or take forever to provision VMs, or have limited capacity, are still hammering out bugs, or are way inferior to AWS in numerous ways. In effect AWS doesn't have much serious competition right now in the public space, it really is vastly more mature than other offerings.

Google will at very likely least get all those implementation details right and be pretty rock solid at a good price point.