When considering cloud services, the first ones that come to mind are AWS, GCP, and Azure. Cloud infrastructure has reached a mature stage, and each of these services can accomplish the fundamental tasks.
This time, I have summarized a comparison from several perspectives for enterprise use.
1. Cost Comparison
Overview: The major cloud providers (AWS, Azure, GCP) follow a pay-as-you-go pricing model but offer various discount plans such as Reserved Instances, Committed Use Discounts, and Savings Plans. Each provider has unique cost structures for Virtual Machines (VMs), Storage, Data Transfer, and Databases, and optimizing the selection of these services can help in cost reduction. Below is a detailed cost comparison, including specific examples and pricing simulations.
1.1 Virtual Machine Pricing Comparison (On-Demand vs. Long-Term Commitment)
- On-Demand Pricing: AWS and Azure have almost identical on-demand pricing, while GCP is slightly more expensive. For a 4 vCPU, 16GB RAM VM, the on-demand price is approximately $140.1/month for AWS and Azure, and $142.8/month for GCP. The difference remains minimal for smaller configurations (e.g., 2 vCPU, 8GB RAM). However, Oracle Cloud Infrastructure (OCI) offers even lower prices in some cases.
- 1-Year and 3-Year Commitments: AWS Reserved Instances (RI) and Savings Plans offer up to 72–75% discounts. Azure Reserved Instances provide a maximum of around 72% off, with additional Hybrid Benefit discounts reaching 85% for customers with existing Windows/SQL Server licenses. GCP’s Committed Use Discount (CUD) offers up to 55–70% discounts, with some memory-optimized machines reaching 70% off. A 1-year commitment for a 4 vCPU, 16GB RAM VM costs approximately $88 (AWS), $90 (GCP), and $96 (Azure) per month. For a 3-year commitment, the prices drop further to $60 (AWS), $64 (Azure), and $65 (GCP) per month.
- Spot/Premptible Instances: All three providers offer Spot Instances (AWS Spot, Azure Spot VM, and GCP Preemptible VM), which can provide 80–90% cost savings. Spot instances are ideal for workloads that can tolerate interruptions, such as batch processing and distributed computing.
Additional Notes: Each provider offers free tiers (AWS Free Tier, GCP $300 credit, and Azure free services), and startup programs (AWS Activate, Google for Startups, Microsoft for Startups) that provide free credits to reduce initial costs.
1.2 Storage Cost Comparison (Object Storage)
- Standard Storage Pricing: Object storage (AWS S3, Azure Blob Storage, GCP Cloud Storage) costs differ slightly. In the US East region, the standard class costs are $0.023/GB/month (AWS S3), $0.021/GB/month (Azure Blob), and $0.023/GB/month (GCP Cloud Storage), with Azure being the cheapest.
- Large-Scale Storage Costs: For 10TB of storage, Azure is the most affordable at $213/month, while AWS is the most expensive at $236/month. This pattern continues at 100TB and 500TB scales, where Azure consistently offers lower pricing.
1.3 Data Transfer (Networking) Costs
- Outbound Data Transfer: AWS charges $0.09/GB for the first 10TB, then $0.085/GB for the next 40TB, and further reduces the cost at higher tiers. Azure follows a similar tiered model, starting at $0.087/GB. GCP starts higher ($0.12/GB) but reduces to $0.08/GB for larger transfers.
- Inter-Region and Inter-AZ Transfer: AWS charges $0.01/GB for data transferred between Availability Zones within a region, while GCP offers free intra-region VM traffic. Inter-region transfers are around $0.02/GB for AWS and Azure, while GCP varies based on network tier selection.
1.4 Database Cost Comparison
- Relational Databases (RDB): Managed database services such as AWS RDS, Azure SQL Database, and GCP Cloud SQL differ based on licensing and pricing. Azure offers lower SQL Server costs, while AWS RDS SQL Server tends to be more expensive due to licensing. GCP’s Cloud SQL offers competitive pricing for large instances.
- NoSQL Databases: AWS DynamoDB, Azure Cosmos DB, and GCP Firestore have different pricing models. Azure Cosmos DB supports multi-region writes, while DynamoDB scales flexibly for small-to-mid-scale workloads. GCP’s Firestore has free tiers, making it cost-efficient for startups.
2. Suitability by Business Phase
2.1 Startups: Ease of Adoption and Scalability
- Adoption: AWS and GCP offer the most accessible startup programs (AWS Activate, Google for Startups). Azure is slightly less common among startups but benefits .NET-based teams.
- Developer Experience: AWS has the most documentation but is complex. GCP offers a simpler UI and better Kubernetes integration. Azure is best suited for Microsoft-stack developers.
- Scalability: AWS supports large-scale services like Netflix. GCP is strong in auto-scaling and has a high-performance global network. Azure scales well but is more enterprise-oriented.
2.2 Enterprises: Management and Cost Optimization
- Adoption Rate: Azure is widely used in enterprises due to Microsoft integration (Office 365, Active Directory). AWS is preferred by digital-native enterprises. GCP is growing but still catching up.
- Governance & Cost Management: AWS Organizations, Azure Management Groups, and GCP Folder Structures help enterprises manage resources.
- Discount Contracts: Large enterprises can negotiate Enterprise Agreements for additional savings.
2.3 Global Companies: Multi-Region, Data Governance
- Regions: Azure has the most regions (60+), AWS follows with 33 regions, 105+ AZs, and GCP has 40 regions.
- Data Compliance: Azure leads in compliance certifications (~100+), AWS supports strict regulatory frameworks, and GCP enforces BeyondCorp Zero Trust for security.
- Networking: GCP’s global VPC allows cross-region networking. AWS and Azure require VPC/VNet peering.
3. Cloud Characteristics and Business Fit
3.1 Strengths and Competitive Advantages
- AWS: Most comprehensive cloud with 200+ services. Strong in internet businesses, startups, gaming, and large enterprises.
- Azure: Best for enterprise IT, Microsoft ecosystems, regulated industries (finance, healthcare).
- GCP: Ideal for data analytics, AI/ML, Kubernetes-based architectures, and digital innovation.
3.2 Industry Fit
- AWS: Internet-based businesses (Netflix, Airbnb), gaming (Nintendo), finance (Capital One), and manufacturing (Toyota).
- Azure: Enterprise IT, manufacturing (Siemens), finance (LSEG), and government projects.
- GCP: AI-heavy industries, gaming (Niantic/Pokémon GO), media (Spotify), and large-scale analytics.
3.3 Support and Ecosystem Differences
- Support Plans: AWS offers business and enterprise-level support. Azure integrates into Microsoft support contracts. GCP’s enterprise support has improved.
- Partner Ecosystem: AWS has the broadest third-party integrations, followed by Azure. GCP is still developing its partner network but excels in open-source collaborations.
- Talent Pool: AWS has the most certified professionals. Azure is strong in Microsoft-based enterprises. GCP is growing in AI and data science talent.
Conclusion
AWS, Azure, and GCP all provide robust enterprise solutions, but their cost structures, strengths, and industry fit vary. AWS is an all-rounder, Azure is enterprise and Microsoft-focused, and GCP excels in data analytics and AI-driven applications. Choosing the right provider depends on specific business needs and growth phases.