http://www.forbes.com/2010/06/16/microsoft-google-cloud-technology-azure.html
The author believes that Microsoft, perhaps against conventional wisdom, has a competitive advantage over Google with its cloud platform, Azure. The key aspect that may provide this advantage is the flexible nature of Azure's hybrid model of application development.
Cloud has become a key element of many enterprise's IT strategy, and these firms may find the ability to retain proprietary data on-site while leveraging the cloud's accelerated development cycle and lower costs desirable. This hybrid capability of Azure is a competitive advantage over Google and Amazon, which offers cloud-only services.
To me, this perhaps highlights the competing visions of Microsoft and Google. Google, I think, may envision a future where all data and services are managed off-site in the cloud, whereas Microsoft is more hybrid in nature. Which vision is victorious will depend on a number of factors including security, regulatory and legal obligations, and of course execution of their strategy.
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