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Google extends cloud push with acquisition of data migration startup

For tech giant Google (GOOG, GOOGL), the primary hurdle in its efforts to expand the cloud business has been the rapidly growing market share of Amazon Web Services (AMZN), followed by Microsoft’s (MSFT) Azure. The focus of the growth strategy set by Thomas Kurian, the new CEO of Google Cloud who assumed office last year, […]

February 19, 2019 2 min read
Market News

For tech giant Google (GOOG, GOOGL), the primary hurdle in its efforts to expand the cloud business has been the rapidly growing market share of Amazon Web Services (AMZN), followed by Microsoft’s (MSFT) Azure. The focus of the growth strategy set by Thomas Kurian, the new CEO of Google Cloud who assumed office last year, […]

· February 19, 2019

For tech giant Google (GOOG, GOOGL), the primary hurdle in its efforts to expand the cloud business has been the rapidly growing market share of Amazon Web Services (AMZN), followed by Microsoft’s (MSFT) Azure. The focus of the growth strategy set by Thomas Kurian, the new CEO of Google Cloud who assumed office last year, is to enhance the sales team and pursue new acquisitions.

The company this week agreed to acquire cloud technology start-up Alooma, even as efforts are underway to take forward the former chief’s initiatives to ramp up sales and distribution. A statement from the company Tuesday clarified the importance of going deeper into the lucrative cloud market, considering the widespread adoption of the technology across all industries.

Alooma, a specialist in data transfer, facilitates effective migration of enterprise database from multiple sources to a single cloud data warehouse, using a special tool. Once integrated, Alooma’s technology and employees will be used for developing database migration capabilities for Google Cloud Platform.

A statement from the company Tuesday clarified the importance of taking a deeper plunge into the lucrative cloud market

The comparatively easy migration process will also allow customers to access Google’s advanced technologies such as artificial intelligence, machine learning, and analytics.

Earlier, Kurian had hinted at the company accelerating its cloud program. However, Google and Alooma are yet to provide additional information about the deal, including the timing of its completion and the financial terms. Considering the modest funding Alooma has raised so far, the transaction value will likely be relatively small.

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Related: Google mulls fresh  tie-ups for Waymo

Meanwhile, there is no clarity as to whether Alooma will continue to support clients availing the services of Google’s rivals in the cloud sector, though the company will not be accepting new cases wherein customers would want to migrate their data to other cloud platforms.

After losing significant momentum in the selloff that rattled tech stocks towards the end of last year, Google shares started 2019 on a positive note. The stock gained about 6% since the beginning of the year and crossed the $1100-mark once again.

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