Google Shops For Cloud Companies To Dominate Cloud Industry

Google shops for cloud service providers to lead the cloud market and target a number of companies.

Google has two engines, which can help it to turn into a formidable company – applications and Cloud. It is finding customers for both those engines, making efforts to log up companies for its set of workplace apps and cloud computation system.

On the applications side, the American search company is also silently buying its way in. An early working list of potential attainment targets in enterprise have been assembled by the search engine operator. These include a number of newly emerging companies, revealed sources aware of the deliberations.

The list includes Namely – a startup handling payroll and healthcare benefits facilities – that received a cumulative $108 million in three rounds; its latest round led by Sequoia Capital, automated application services provider Metavine that has received $5.5 million, Canadian e-commerce public company Shopify, which has a market capitalization of $2.25, Xactly and Callius Cloud. Sources claimed that the approaches up till now are preliminary in nature and have not reached an official stage.

Google has refused to comment. Representatives from Metavine, Namely and Shopify have refused as well. Callidus and Xactly did not return requests for sharing views.

The list consists of companies serving so-called “middle-market” businesses, which hire anywhere from hundreds of employees to thousands of employees. Google is planning to approach this market segment to grow its cloud business in the industry, a priority for the company’s CEO Sundar Pichai.

In November 2015, he poached Diane Greene from the US cloud service provider, VMware, and the list indicates the seriousness of the tech company to advance in years. It underlines the extensive influence and edict that its new enterprise SVP Diane Greene have on the organization as it plans to battle with Microsoft and Amazon.

The thinking process behind the possible measure is twofold, sources state. First, Google’s customer base for Google Apps has a noticeable gap. It has done well both with large companies and small ones, but has failed to attain the traction it is interested in with organizations between these two bookends.

Acquiring apps to dominate that tech market would make its applications offerings more appealing. Cloud software is used by Xactly to keep a track of the effectiveness of company’s sales procedure.

In October, Google tried to attract companies with 3000 workers or fewer away from rival platforms such as Office 365 by paying $25 per user to play a role in helping them manage the transition in return for a one-year promise.

Secondly, by taking over some of these organizations, Google would have the chance to transfer their internal technologies to its Google cloud. Here, the company battles against Azure of Microsoft Corporation and Amazon Web Services in the business to lease computation resources that power apps.