www.networkworld.com/news/2010/062510-microsoft-azure-amazon-ec2.html
Amazon currently offers infrastructure-as-a-service while Microsoft's Azure is a platform-as-a-service model. This article discusses the relative strengths and weaknesses of the different models. It also suggests that in the near future the two different companies will converge toward eachother.
Microsoft's COO, Kevin Turner briefly discussed and dismissed Amazon's infrastructure as a service model during the Microsoft Financial Analyst Meeting 2010. "It only provides a limited set of platform, as a service set of capabilities, in virtual machines that you manage with Amazon, that you maintain and update."
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