Cloud Price War Ahead? Microsoft Matches AWS with Azure IaaS

A price war may be brewing in the commodity cloud services space.  Microsoft (NASDAQ: MSFT) has announced the launch of Windows Azure Infrastructure Services and pledged to compete with Amazon (NASDAQ: AMZN) Web Services (AWS) on priceblog post that Microsoft wants to deliver both low price and good performance in one package with virtual machine and cloud services prices cut by 21 percent to 33 percent. Here’s a deeper look.

Microsoft indicated that it was cutting prices because customer objections to Azure have been that there are less expensive options available. The price cuts will level the playing field for Windows Azure Infrastructure Services in the Infrastructure as a service and Platform as a service arenas. 

More information about the price cuts, the market background and Microsoft’s statement on it all is available on TalkinCloud.