AVG to Phase Out Cloud Storage Service by July


AVG, a software company best known for its security products, is ending its cloud storage service LiveKive which allowed users to archive and share content across desktop and mobile devices.

AVG launched LiveKive in 2011 under a freemium model where they had access to 5GB of free storage that could be used to synchronize and store data across devices, and Macintosh and Windows systems. It allowed users to buy 25GB of storage for $49.99 annually and 500GB for $79.99 annually.

According to AVG, LiveKive customers will no longer be able to upload new files starting April 9, 2014. On July 8, 2014, all files left on the LiveKive system will be deleted and will no longer be available. The company said usage levels and the costs of maintenance were factors in closing LiveKive.

Customers must download and save LiveKive files they want to keep before July 7, 2014.

They may also be looking for alternative services like Microsoft OneDrive which offers an initial 7GB of free space, Comodo cCloud with 10GB of free storage, and MEGAsync that offers 50GB free space. Also, SpiderOak has a freemium pricing model that provides 2GB of free storage space. Dropbox also offers a base of 2GB free syncable storage with the ability to expand to about 20GB.

A company blog post that describes some of the rationale behind the decision to end LiveKive: “We have a number of core protection, performance and privacy products that we find are consistently popular with our customers. We also offer some complementary products in other areas for which we evaluate whether to continue updating on an ongoing basis based on the levels of usage. This is unfortunately the case with AVG LiveKive.”

Earlier this year, AVG shut down its remote access service Crossloop (which it had bought in 2012) with little warning to users.

However, focusing on offerings that it does well and that make money might be ultimately benefiting AVG. Its latest earnings report showed gains in its small and medium-sized business segment, largely due to the June 2013 acquisition of remote monitoring and management provider Level Platforms (now AVG Managed Workplace solutions), as well as sales of cloud-based IT management service CloudCare.

“In 2013 we laid the foundation for the transition of our business to a cloud based security model,” AVG CEO Gary Kovacs said in a February call with investors. “We started with the internally developed product CloudCare and because we firmly believe in the SMB opportunity, we added a managed workplace later in the year.

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  1. AVG can't keep providing cloud with all those new competitors

  2. If this is a general discussion about the costs of cloud computing, it seems that no one is taking into consideration the folks who are actually using these services, not located in a data center but in offices around the planet where internet access is not NEARLY as inexpensive as $8/mbps. So, a company considering moving to cloud services must consider all the hosting and datacenter charges, PLUS the biggie, the increased bandwdith costs they will need to access their services from the office. You cannot buy office business class connectivity anywhere near the pricing of $15 / mbps that the cloud boys are quoted herein as charging, so I say a company would need to mulitply their bandwidth costs at more like 10-50 times that much. So, the fact is that there are even more hidden costs than discussed here for companies wanting to go this way. This will drive the market for cloud computing. There will be a sweet spot for these services but will be weighted at the smaller end businesses. large businesses will have the infrastructure to handle this in house AND have offsite (other business locations) for their own data centers. Hardware is cheap, and in house bandwidth is free. I’m not so sure this whole “cloud computing” thing will take off like everyone thinks. It is a good market, but in house servers are not going away by any stretch.

  3. There are 3 major flaws in this article: 1) The cost to a cloud company of providing bandwidth to a customer is much higher than their cost to their upstream providers. Routers, switches, redundancy, accounting, capacity planning, physical circuits, power, etc. make upstream per mbps costs just 1 component. 2) Apparently there are only 3 cloud service providers, Azure, Amazon and Rackspace… but really there are many, some of which, like NewServers.com, include 2,100 gbytes per month of bandwidth free with each server. 3) The last paragraph about a “trick” being to move off the cloud makes little sense given the above. Cloud service providers, on average, are just about as competitive (on AVERAGE) with non-cloud servers. But of course you get all the affordable on-demand scaling that you can’t get with non-cloud services, so the economics are swayed far in the cloud direction…

  4. I may think the article is weak, but calling it trash under an “Anonymous” post is pretty slimey. Don’t YOU have anything factual or interesting to write that you could put your name against. Oh wait, you’d rather trash other people’s hard work without even having the balls to put your name against your trashy post. Weak.

  5. It is true that we could have changed the assumptions to skew the gross profit higher or lower – for example if we assumed that the customers’ application used bandwidth at a steady state for each of the 20 days over the month instead of being idle half of each day. I also agree that we need to see a holistic datacenter profit/cost model that people can use to make decisions about outsourcing all or any of their infrastructure.

  6. Yeah , I totally agree that AVG can't keep providing cloud with all those new competitors , AVG can focus now on their main products.

  7. Wow, another cloud closing. AVG is lucky they can fall back on other products.