How do smaller companies bring business competing with mammoth CSPs AWS, Azure?

Microsoft 98102
Jul 28, 2018 5 Comments

For example:

Why would a company pay Elastic when you could get ElasticSearch alongside other AWS services? Are these companies/teams not on AWS? Is Elastic support cheaper?

Same with Twilio (vs AWS messaging), Databricks (why not AWS Spark EMR?), and so many others? Why Cloudera for Hadoop?

What am I missing here? Are all these companies going to get crushed by AWS, Azure some day? Am I being super naive?

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TOP 5 Comments
  • Intel SadeMindri
    Yes. They are at risk since if the cloud provider themselves can provide it with seamlessly integration with other components (ec2, s3) they'll get crushed easily if they don't offer something unique.

    WSJ did an article on this:
    https://www.wsj.com/articles/how-amazon-wins-1527845402
    Jul 28, 2018 3
    • Microsoft 98102
      OP
      Thanks. But wouldn't someone like neo4j and elastic lose existing business over time? (And not just the fact that new growth will slow down?)

      Are any of these people offering anything unique at all?
      Jul 28, 2018
    • Intel SadeMindri
      True. But customers using everything from a provider is locking themselves up with the provider.

      Maybe elastic or others are vendor neutral and that is their selling point.
      Jul 28, 2018
    • Amazon / Eng
      sarcasticg

      Amazon Eng

      PRE
      Sabre Corporation
      sarcasticgmore
      Op... Any business would fail if they cannot catch up (and eventually beat) to the competition.
      Jul 28, 2018
  • Microsoft / Product @zzz
    A lot of times smaller companies can fill in niche segments or needs that may not make sense for a really large company. Not just in the cloud business but true about most industries and services. If smaller companies can keep growing there, eventually they have the threshold to directly compete with the likes Amazon. If there is big and powerful incumbent, usually the strategy should be to not compete directly but complement or fill voids. I don't know about elastic but that's probably what they are trying.
    Jul 28, 2018 0

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