When Alibaba Group Holding Ltd (NYSE:BABA) landed the US with a bang, many experts were predicting that the company will bring nightmare for the native tech giants in a variety of fields. But things will be so quick and unexpected was not foreseen. Yesterday, Alibaba Group Holding Ltd (NYSE:BABA) announced its first ever foray of its Cloud business in the US, raising red flags for data center and web services giant Amazon.com, Inc. (NASDAQ:AMZN). This Cloud battle is going to take a while and will drag Microsoft Corporation (NASDAQ:MSFT) in the turf as well.
Amazon.com, Inc. (NASDAQ:AMZN) is the juggernaut of web services and the Enterprise Cloud in the US. Alibaba Group Holding Ltd (NYSE:BABA)’s Aliyun Cloud platform is nowhere near Amazon.com, Inc. (NASDAQ:AMZN), but the Chinese company is persistent and it even revealed its plans for the year 2015. Alibaba Group Holding Ltd (NYSE:BABA) says that back in China, it is giving data center and Cloud services to no less than 1.4 million customers. It says that its first priority in the US is to target Chinese customers, but in the second half of 2015, it will start targeting US companies. Microsoft Corporation (NASDAQ:MSFT) is another important player in the Cloud wars. It has Windows Azure Cloud platform, which is targeting startups and small businesses. Microsoft Corporation (NASDAQ:MSFT)’s CEO Satya Nadella’s mobile first Cloud first strategy will heat up the battle between his company, Alibaba Group Holding Ltd (NYSE:BABA) and Amazon.com, Inc. (NASDAQ:AMZN).
An article on Wired said that Cloud market is valued at $150 billion. In the US, more than 75% of the companies are using Cloud services in one form or another. Amazon.com, Inc. (NASDAQ:AMZN) has massive grasp and infrastructure in the US Cloud business. Alibaba Group Holding Ltd (NYSE:BABA) is just starting but the experience and revenues of the company are huge to alarm Microsoft Corporation (NASDAQ:MSFT) and Amazon.com, Inc. (NASDAQ:AMZN).
As of 30 June 2014, Ken Fisher’s Fisher Asset Management hold around 17.7 million Microsoft Corporation (NASDAQ:MSFT) shares.
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