UPDATED 13:08 EDT / MARCH 26 2018

CLOUD

In latest win over Amazon Web Services, Google inks cloud deal with Shopify

Google LLC is kicking off the week with a major customer win in the public cloud.

Dale Neufeld, the vice president of production engineering at Shopify Inc., revealed in a blog post today that the e-commerce giant is shifting its back-end systems to Google Cloud Platform.

The companies didn’t divulge the financial terms of the agreement or how much infrastructure is involved. However, the numbers are likely substantial based on the available context.

Ottawa-based Shopify hosts the online storefronts of about 600,000 merchants that together generate more than $240 billion in annual sales. Such a large amount of shopper traffic requires a great deal of infrastructure to support. This is particularly true during peak periods such as the holiday season, when retailers see major spikes in the number of visitors to their websites.

The agreement with Google should ease the load on Shopify, which has until now hosted most of its services in its own data centers. Neufeld said in his blog post that the migration is the culmination of a multiyear journey that saw his division gradually shift more secondary systems to the cloud. A series of major operational changes carried out from 2012 to 2016 is what ultimately created the technical foundation that was necessary for a full-blown switch.

On Google’s end, the deal with Shopify represents the latest in a string of recent cloud wins. Previously, the search giant struck a partnership with Salesforce.com Inc. to become one of its preferred infrastructure providers and inked an agreement to host Marketo Inc.’s popular line of marketing automation services.

Google is continually bolstering its platform in a bid to win over more enterprise customers. Just last week, word leaked that the search giant is in the process of developing a homegrown blockchain service designed to let organizations manage transactions and protect client data. 

Image: Google

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