Apple’s cloud deal with Google could be worth $600 million

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Apple may be hooking up with its long-time rival Google.
Photo: Jim Merithew/Cult of Mac

Apple may be hopping into bed with long-time tech giant frenemy Google, migrating part of its iCloud business over from Amazon Web Services (AWS) to Google’s Cloud Platform.

Apple will reportedly pay Google between $400 and $600 million as part of the deal, which could be around twice the estimated amount Google’s cloud business did in total revenue last year.

Up until now, Apple has primarily used AWS, Microsoft Azure and its own data centers for its media services and iCloud. It’s not clear why Apple would be planning to move, although Google’s cloud team is said to currently be in “deal-making mode,” which means the search giant may have proven willing to make concessions to bring Apple aboard. Last month it successfully signed Spotify as a new client.

Don’t get too excited though, Google watchers: Apple is busy working on increasing its own dedicated cloud services under the internal code-name “McQueen.” Should Apple’s plan come off, it is hoping to gain more independence from other companies. The company has announced three new Apple-owned data centers which will be opening soon.

In other words, Google’s Cloud Platform may be a stop-off en route rather than the final destination.

Via: Re/code

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