ISV Partnership Programs: Google Cloud Services
Google Cloud recently pledged to double spending on partners while unifying its ecosystem and channel sales into a single consolidated partner group. Google partner ISVs want to create cloud-modern architectures where they would containerize, microservice-enable, and use Google's SRE (site reliability engineering) best practices.
In the first three quarters of 2021, Google Cloud Marketplace saw a 550 percent rise in gross third-party transaction value, mostly due to ISVs, compared to the same period in 2020. Google is also developing new revenue models for ISVs who use Google Distributed Cloud to provide their goods in hybrid settings, across multiple clouds, and at the network edge. ISVs will be able to create industry-specific 5G and edge solutions using Google Cloud's telecom provider ecosystem and over 140 Google network edge locations. In Google’s view, the digitalization journey is not only about ISVs "SaaSify" their apps anymore, it's also about modernizing them and enabling innovation. However, Google Cloud is focusing its resources to help, after experiencing considerable growth in revenue from its ISV ecosystem.
Product Development Benefits
The Google network includes Gmail, Google Workspace, Search, YouTube, Maps, and five or six other Google products which have over a billion users each. Some of the Google technologies that helped create these products, like Cloud Machine Learning Engine, Cloud AI, Kubernetes, and Anthos are also available as part of the Google Cloud. While these technologies help partners leverage the infrastructure that Google built, partners find them to be demanding in terms of skill sets and knowledge needed to integrate. However, other partners see a lot of potential in aiding organizations with onboarding and adoption of these technologies, creating both one-time and recurring revenue possibilities.
Revenue Growth Benefits
Analysis conducted by Forrester finds that Google Cloud partners can earn a potential 86 percent ROI, up from 50 percent in a prior study. Furthermore, for every dollar a client spends on Google Cloud consumption, partners earn $5.70 in downstream revenue. Most importantly, Google ISV partners selling in-house IP grow their IP-revenue at a 324% CAGR.
Partners can also use the Google Cloud Marketplace to easily deploy Google Cloud-based software solutions and, more importantly, to sell their products as soon as they are certified as a Google Cloud Build Partner.
Cost Reduction Benefits
The main cost reduction opportunity through Google Cloud are Google’s cybersecurity services. Partners’ data will be protected by the same security technology that protects Google's private global network, allowing companies to dramatically minimize compliance costs while adhering to strict industry-specific requirements.
Risk Mitigation Benefits
Google infrastructure is designed to help partners build, deploy, and operate services in a secure way. Physical and operational security, data encryption at rest and in transit, and many other important facets of a secure infrastructure are managed by Google. Partners inherit these benefits by deploying applications to Google Cloud. More specifically, Google Cloud services offers:
- Multi-layered security that recognizes and answers to threats and vulnerabilities 24 hours a day, seven days a week.
- Advanced monitoring and control: Gain real-time visibility and decrease risk by ensuring that only the appropriate users have access to data and services.
- Privacy and transparency: Always aware of where your data is being saved, as well as how it is being utilized.
Read more about ISV partnerships in our next blog posts from this series, and hop on the ISVWorld Platform to find the right ISVs to partner with.
In case you missed our latest post on tech partnerships:
#5 Salesforce Commerce Cloud
#6 Oracle Partners
#7 SAP PartnerEdge
#8 Sage Partners
#9 RedHat Partners
#10 Acumatica the Cloud ERP
#11 Twinfield Partners