The most valuable customers are either on EC2 or their own private hardware. The number of companies who can trivially port their software to Google's new offe

The most valuable customers are either on EC2 or their own private hardware. The number of companies who can trivially port their software to Google's new offering are a small fraction of the total market (when accounting for total $ spent). There's an even bigger problem as well. Google hurt their reputation as a hosting provider when they significantly raised their rates without advanced notice. Companies want to know what their costs will be, and want to know that someone will answer their questions if they have support issues. Google has a negative reputation in both areas.