Amazon, Microsoft Cut Cloud Storage Prices

Last April, Microsoft agreed that it would match Amazon’s Web Services’ (AWS’) prices for compute, storage and bandwidth.

So when Amazon announced last Thursday  that it would cut its S3 (Simple Storage Service) and Elastic Block Store (EBS) prices by up to 22%, Microsoft followed suit the very next day.

“We are matching AWS’ lowest prices (US East Region) for S3 and EBS, reducing prices by up to 20% and making the lower prices available in all regions worldwide,” Microsoft posted in its official blog.

For Microsoft’s “Locally Redundant Disks/Page Blobs Storage,” the company is reducing prices by up to 28%. It is also reducing the price of Azure Storage service by 50%.

Amazon’s new prices take effect Feb. 1. Microsoft’s price cuts begin March 13.

“We’re also making the new prices effective worldwide, which means that Azure storage will be less expensive than AWS in many regions,” Microsoft said.

Amazon said it dropped its prices for its S3 storage by 22% and its EBS standard volume storage and I/O operations by up to 50%.

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IBM To Become Cloud Broker

IBM is in the throes of developing software that will allow organizations to use multiple cloud storage services interchangeably, reducing dependence on any single cloud vendor and ensuring that data remains available even during service outages.

Although the software, called InterCloud Storage (ICStore), is still in development, IBM is inviting its customers to test it. Over time, the company will fold the software into its enterprise storage portfolio, where it can back up data to the cloud. The current test iteration requires an IBM Storewize storage system to operate.

ICStore was developed in response to customer inquiries, said Thomas Weigold, who leads the IBM storage systems research team in IBM’s Zurich, Switzerland, research facility, where the software was created. Customers are interested in cloud storage services but are worried about trusting data with third party providers, both in terms of security and the reliability of the service, he said.

The software provides a single interface that administrators can use to spread data across multiple cloud vendors. Administrators can specify which cloud providers to use through a point-and-click interface. Both file and block storage is supported, though not object storage. The software contains mechanisms for encrypting data so that it remains secure as it crosses the network and resides on the external storage services.

A number of software vendors offer similar cloud storage broker capabilities, all in various stages of completion, notably Red Hat’s DeltaCloud and Hewlett Packard’s Public Cloud.

ICStore is more “flexible,” than other approaches, said Alessandro Sorniotti, an IBM security and cloud system researcher who also worked on the project. “We give customers the ability to select what goes where, depending on the sensitivity and relevance of data,” he said. Customers can store one copy of their data on one provider and a backup copy on another provider.

ICStore supports a number of cloud storage providers, including IBM’s SoftLayer, Amazon S3 (Simple Storage Service), Rackspace, Microsoft Windows Azure and private instances of the OpenStack Swift storage service. More storage providers will be added as the software goes into production mode.

“Say, you are using SoftLayer and Amazon, and if Amazon suffers an outage, then the backup cloud provider kicks in and allows you to retrieve data,” from SoftLayer, Sorniotti said.

ICStore will also allow multiple copies of the software to work together within an enterprise, using a set of IBM patent-pending algorithms developed for data sharing. This ensures that the organization will not run into any upper limits on how much data can be stored.

IBM has about 1,400 patents that relate to cloud computing, according to the company.

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Amazon Goes To Court

Amazon is suing Daniel Powers, its ex VP in charge of global sales for Amazon Web Services because he joined Google in a cloud role.

Taking the new job, asserts Amazon, violates Powers’ non-compete agreement with Amazon, which let Powers go this summer with a reasonable severance package.

There is a risk that Powers could take important information that he learned about the Amazon web services business to its rival, Google, and that is what the firm is seeking to stop.

According to Geekwire Amazon wants an injunction against Powers to prevent him from “engaging in any activities that directly or indirectly support any aspect of Google’s cloud computing business”.

A court filing claims that Amazon has an agreement with Powers that says he will not join a rival for a “limited time following the termination of his employment”.

Powers, it warns, is a veteran who knows the cloud business from “top to bottom”, adding that he has “acquired and currently possesses extensive knowledge of Amazon’s trade secrets and its highly confidential information”.

The complaint says that he has extensive and detailed information about Amazon Web Services’ prospects, business, potential business partners, pricing strategies and goals.

Amazon has not provided us with further comment.

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