June 29, 2012 – Google has officially moved into the enterprise cloud computing market with its announcement of Google Compute Engine, an on-demand option for business applications that function on the same infrastructure already operating the search engine giant’s Web offerings.

At its annual user conference Thursday, Google confirmed weeks of insider speculation on some type of cloud announcement with the beta launch of its Google Compute Engine, an Infrastructure as a Service source for workloads stored on its Linux virtual machines. Compute Engine enables creation and development of business applications without new internal hardware, similar to the basis of rival Amazon’s cloud. The new Google cloud release relies on Google’s own Google App Engine and programming in Java, Python and Google’s Go language.

Along with the Compute Engine business application cloud, Google on its website also highlighted connections with its Google Cloud Storage offering and Google Big Query, its SQL-based data analysis offering in the cloud.

Dick Csaplar, senior analyst on storage and virtualization at Aberdeen Research, says the announcement is also an extension of Google’s parallel moves toward enterprise mobile device and app development. And storage requirements from a cloud service should also be easily handled in the near-term by Google’s existing sites and hardware, Csaplar says.

“A cloud offering is becoming a requirement, table stakes if you may, for companies offering personal mobile devices in the market.  The Cloud is the new delivery and backup engine of choice,” he says. “Google can also probably support this offering for now by picking up the spare compute cycles they have lying on the floors of their massive data centers.”

There was no date for the general availability given by Google primary infrastructure architect Urs Holzle during a keynote Thursday at Google I/O in San Francisco.