Customers Warn Gartner Against AWS High-Pressure Selling Tactics in Latest Verdict on Public Cloud Providers • The Register
Gartner released its latest Magic Quadrant report on public cloud providers, noting that customers are facing “unexpected pressure from AWS sales” and that Microsoft still has reliability issues.
The Magic Quadrant for Cloud Infrastructure and Platform Services covers IaaS (Infrastructure-as-a-Service) as well as PaaS (Platform-as-a-Service) – but not SaaS (Software-as-a-Service), it therefore excludes Microsoft 365 and Google Workspace. It is based not only on analysts’ views, but also on panels of clients, and these seem to be the source of some pointed observations in the report.
MQ ranked AWS ahead of the pack, slightly beating number two Microsoft in “completeness of vision” and noticeably in “ability to execute.” Google came in at number three, and those are the only occupants of the upper right quadrant, the only place a salesperson likes to be located.
Only four other vendors qualified for inclusion – Alibaba Cloud, which has just slipped into the “Visionary” quadrant at the bottom right, as well as Oracle, Tencent and IBM, all in the “niche player” segment. . Alibaba has been praised for its “leadership position in China,” but, according to Gartner, lacks transparency in the discounts and technical details of its service.
Tencent, Gartner said, is also “primarily China-focused” and is the only large-scale supplier with a region in Russia, but has a “tight ecosystem.” IBM has been recognized for its strength in regulated industries and high-tech computing, but Gartner noted its small market share and that it is often not shortlisted by customers, due to its perception as a “supplier of legacy technologies “.
Oracle has aggressively upgraded its capabilities, Gartner said, and has a unique “on-premises private cloud region” product thanks to full parity with its public cloud and no Internet dependencies. Still, Big Red suffers from negative sentiment from developers and many “new and immature” services, according to the report.
What about the big three, however? AWS has been a leader in engineering, customer adoption and innovation, and “guides the roadmap” for other cloud providers. But AWS has been criticized for the complexity of its many solutions, the introduction of simple services that are not initially ready for business use and, according to the report:
“Dozens of Gartner customers in multiple geographies have reported unexpected sales pressure from AWS, which accelerated sharply over the past year, to increase annual spending commitments by 20% to renew existing contracts . It went wrong with customers who have “a significant dependence on the platform,” Gartner said, but these arguments are “not AWS policy and will be eliminated if the customer escalates.” .
Corey Quinn, AWS Cost Consultant said on twitter that this commercial pressure “is not particularly new to us”.
Microsoft has the widest range of capabilities, Gartner said, strong corporate relationships, and does well with database services like Cosmos DB. That said, despite efforts to improve resiliency, Gartner customers “remain concerned about the real impacts” when services like Azure Active Directory fail. Azure Kubernetes Service also suffers from outages, and some Azure regions, according to Gartner, are insufficiently resilient and will remain so. Microsoft’s notoriously complex licensing has been pointed out by Gartner, and (to no one’s surprise) its sales team seems more interested in increasing account revenue than reducing a customer’s costs.
As for Google, Gartner was positive about its progress in terms of capacity, size and reach, and analysts consider it “the most comprehensive Kubernetes service of any vendor in this market.” On the negative side, they expressed concern about low after-sales satisfaction when dealing with Google Cloud Platform (GCP), aggressive prices that might not be maintained, and the fact that GCP is the only vendor out there. large scale to report a financial loss for this part of its activity. ($ 591 million).
Regardless of this report, Gartner said yesterday that he expects global cloud spending to continue to grow rapidly.
“Gartner predicts that end-user spending on public cloud services will reach $ 396 billion in 2021 and increase 21.7% to $ 482 billion in 2022. Additionally, by 2026, Gartner predicts that Public cloud spending will exceed 45% of all business IT spending, up from less than 17% in 2021, ”the analyst firm said.
We asked AWS to comment on its seemingly overzealous sellers. ®