On September 5, 2019, Alphabet (Nasdaq Stock Code: GOOG), the parent company of Google, has been working on developing its cloud products in recent years. Although the technology giant has done well to become the third largest player in the rapid growth field, we believe that the company should explore strategic acquisition opportunities to consolidate its position. We believe that the strong candidate for acquisition is Nutanix. Trefis emphasizes why Google should acquire Nutanix in the interactive dashboard and why we estimate the potential acquisition price. We highlight the key points from the dashboard below.
Why would Google take care of Nutjanx?
Mixed clouds are key:
1. Most large public cloud providers have established specialized relationships with leading hybrid cloud providers (with strong internal collaboration) or have acquired them.
1) Amazon AWS and Microsoft Azure have an important partnership with VMware, respectively.) IBM acquired RedHat to advance IBM's cloud computing.3) Microsoft Azure also established a partnership with IBM and Red Hat. Recently, Microsoft and Oracle also began to bundle so that their cloud can interoperate, with a large number of internal collaboration with Oracle, due to the workload of the database.
2. Google released its hybrid cloud platform (called Anthos) in April, but the company needs a mature player in the data center market to achieve its goal of contacting private clouds.
3. Although Google's management did not disclose the data of Google Cloud, the company has pointed out that the cloud as an investment area accounts for the majority of its investment. The company also hired a new CEO for its cloud business (Thomas Kurian, former Oracle executive)
4, we think Nutanix is well adapted to Google's hybrid cloud strategy. Nutanix is a leader in superconverged infrastructure (a single device module used to build virtualization in a data center).
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