Google's recently launched website emerges as a rival from Oracle's sphere in the cloud domain.
In a strategic move to bolster its AI ambitions and enterprise offerings, Google's parent company Alphabet has appointed Kobi Bar-Nathan as the finance chief of Google Cloud. Bar-Nathan brings valuable industry experience from Oracle and Microsoft, two major players in the cloud services market.
The move comes as the main cloud service providers vie to provide cloud services for generative artificial intelligence tools. Google Cloud, with its growing range of data centers around the world, already provides the computing power for these tools. However, the competition between vendors has put pressure on cloud margins and infrastructure costs.
Google Cloud is a key pillar in Alphabet's AI ambitions, integrating AI capabilities into cloud products targeted at enterprise customers. By appointing Bar-Nathan, who has deep industry knowledge from Oracle, Google aims to enhance its financial and operational management to accelerate investment and growth in AI-powered cloud services. This move signals Alphabet's commitment to scaling its enterprise cloud platform to compete with rivals such as Oracle, Microsoft Azure, and AWS, especially in AI innovation and delivery for business customers.
Oracle, too, is making moves to maintain its position in the market. It has extended agreements with both Google and Amazon Web Services as part of its wider "multicloud" strategy. Amazon Web Services remains the top provider of cloud services, according to Bloomberg's reporting, while Microsoft ranks second. Oracle, however, holds the fifth position in the market.
In the first quarter of 2025, Google Cloud generated $12.3 billion in revenue, a 28% increase year over year. Alphabet's total revenue for the same quarter was $90.2 billion. Google confirmed Kobi Bar-Nathan's hiring to Bloomberg.
Bar-Nathan's most recent post at Microsoft was as finance director of the cloud infrastructure division. Before that, he served at Oracle since December 2022. With rising AI demand and competition, Bar-Nathan's financial leadership could play a significant role in shaping Alphabet's approach to long-term profitability in the cloud sector.
In summary, Bar-Nathan's leadership is expected to bolster Google Cloud's financial strategy, helping Alphabet channel resources efficiently towards expanding AI-driven enterprise solutions, thus reinforcing Alphabet's overall competitive positioning in the cloud and AI markets.
- The appointment of Kobi Bar-Nathan as Google Cloud's finance chief aims to accelerate investment and growth in AI-powered cloud services, a key pillar in Alphabet's AI ambitions.
- Bar-Nathan's financial leadership could play a significant role in shaping Alphabet's approach to long-term profitability in the cloud sector, given the rising demand for AI.
- By enhancing its financial and operational management, Google aims to compete with cloud service rivals such as Oracle, Microsoft Azure, and AWS, especially in AI innovation and delivery for business customers.
- Data-and-cloud-computing technology is crucial in the development and delivery of generative artificial intelligence tools, a market where the main cloud service providers are vying for dominance.
- Investing in business ventures, such as Bar-Nathan's hiring, is a strategic move for enterprises looking to advance their AI ambitions and stay competitive in the cloud market, where margins and infrastructure costs are under pressure.
