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HomeBusinessGoogle cloud unit undergoes changes in bid to get market share

Google cloud unit undergoes changes in bid to get market share

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The Google Cloud business is among the lesser performing assets of Alphabet Inc., its parent company and chief executive officer of the division, Thomas Kurian is working to change this. The unit is in third position in the market way behind Amazon and Microsoft. The division is reorganizing itself in a bid to catch up with its rivals.

CNBC viewed emails sent to the cloud division. They included changes announced by Rob Enslin who is the president of cloud sales at Google. He told his team that Carolee Gearhart was leaving to take a job elsewhere. He said that with her departure they were “taking the opportunity to further refine” their “newly unified partner organization.” Carolee was the leader of the global channel partner business of Google Cloud and Google Workspace, which was earlier known as GSuite.

Earlier, CRN had reported that Kevin Ichhpurani would replace Carolee Gearhart. Now, his role has been expanded. He will be helped by Bronwyn Hastings, who oversaw partnerships.

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Lindsey Scrase will report to Greg Tomb, although her new role remains unclear. Tomb manages sales and security for Workspace.

According to Synergy Research Group, as of the third quarter, Amazon Web Services leads with a 33 percent market share. Microsoft Azure has a 20 percent market share while Google cloud services is at 10 percent. Reshuffling teams is insufficient to close the gap between the third and second position.

In a recent blog post Ichhpurani said that the cloud division would double its spending in its partner ecosystem in the next few years.

In its last earnings report in October, it reported that its revenue from cloud rose by 45 percent to 4.99 billion. Its operating losses came down to $644 million from $1.21 billion. The fourth quarter results from Google are expected next week. Investors will be closely watching the cloud business, as it is trying to rise higher but is still far behind its rivals at the third position.

 

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