Google's low pricing is attracting the attention of existing cloud users
The 800-pound gorilla has landed and is leveraging its existing relationship with hundreds of millions of users to port them to their cloud storage and file sharing service Google Drive. Can smaller cloud storage players survive this assault?
"When the 800-pound gorilla jumps in the pool it usually makes a splash. It doesn't mean it can swim well. There is room in the market for multiple players, but Google's entry puts pressure on the competition, especially smaller players," said Gartner Research Director Michael Gartenberg.
Like Apple and Microsoft, Gartenberg noted that Google has a relationship with a millions of consumers who use its Gmail, Google Docs, Chrome web browser and any number of other applications. Because of those existing relationships, Google has an advantage in being able woo existing customers over to its new storage and synchronization service.
While Google Drive will no doubt compete with Microsoft's SkyDrive and Apple's iCloud, the companies more at risk are smaller specialized service providers, such as DropBox, Box, SugarSync and YouSendIt. Those sites have appealed more to technology enthusiasts, not average consumers. And, when it comes to adoption, relationships matter.
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