Internet search giant
) has acquired an infrastructure startup company, Talaria
Technologies for an undisclosed sum to boost its cloud
Palo Alto-based, Talaria Technologies was founded by Austin
Robison in 2011. It develops web application servers that add
support and scalability to some of the most popular websites.
After the acquisition, the Talaria team will become a part of
Google's Cloud Platform team.
Talaria claims that its technology increases the efficiency of
websites by allowing developers to use easier, high-productivity
languages like Python and Ruby with the scalability advantage of
a compiled language.
) is also doing a similar exercise by removing its existing PHP
code with Hip Hop, which easily transforms codes. This exercise
is expected to reduce its hardware costs and boost its
) was one of the major pioneers of cloud computing. It modernized
its own data centers and launched a cloud-computing business for
external customers called Amazon Web Service (AWS) in 2006.
) also acquired cloud-monitoring startup MetricsHub to boost its
Google's acquisition may prove to be beneficial for the search
giant, as the apps hosted on the Google cloud platform may now
perform more efficiently. With Talaria's technology, Google can
run the apps using less hardware, thus giving it a cost
IDC predicts that the cloud market may grow 130% to $43.0
billion by 2016. Further, Gartner predicts that around $677.0
billion may be spent on cloud services within the 2013-2016
timeframe. Thus, Google should be able to tap this opportunity,
which may boost its top-line going forward.
In the fourth quarter of fiscal 2012, Google's gross revenue
(including TAC) touched a record $14.4 billion, representing
sequential and year-over-year increases of 2.3% and 36.2%,
respectively. Excluding the $1.5 billion contribution from
Motorola, revenues were up 21.9% from the year-ago quarter.
Google has a Zacks Rank #3 (Hold).
AMAZON.COM INC (AMZN): Free Stock Analysis
FACEBOOK INC-A (FB): Free Stock Analysis
GOOGLE INC-CL A (GOOG): Free Stock Analysis
MICROSOFT CORP (MSFT): Free Stock Analysis
To read this article on Zacks.com click here.