Google Cloud and SADA launch expanded partnership with $2.5B cloud sales goal

Google Cloud and SADA launch expanded partnership with $2.5B cloud sales goal

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Google LLC’s cloud business and SADA Systems Inc., a major technology consultancy, today announced an expanded partnership aimed at broadening enterprise adoption of Google Cloud.

At the center of the partnership is a new three-year revenue growth initiative. The goal of the initiative, the companies said, is to encourage joint customers to purchase $2.5 billion worth of Google Cloud services. That’s more than five times the spending goal Google Cloud and SADA Systems set for an earlier sales growth collaboration announced in 2020.

Los Angeles-based SADA is a consultancy that helps companies modernize their information technology operations. The firm assists its customers with tasks such as migrating on-premises workloads to the cloud and developing applications. SADA can also operate a company’s IT environment on a managed basis. 

Until a few years ago, SADA helped customers with cloud initiatives involving both Google Cloud and Microsoft Corp.’s competing Azure platform. In 2019, the company sold its Azure business to focus exclusively on Google Cloud. The move helped SADA establish itself as one of Google’s most important consulting partners.

SADA had about 160 employees in 2019 when it sold its Azure consulting business. By October 2021, the company reportedly more than tripled its workforce and surpassed $1 billion in bookings.

As part of its newly expanded collaboration with Google Cloud, SADA says that it will “roll out additional offerings and services that build upon Google Cloud.” The solutions will join a new portfolio of professional services bundles that SADA introduced in January. The portfolio spans use cases such as planning cloud initiatives, implementing proof-of-concept projects and modernizing software.

“Google Cloud is the path to digital transformation,” said SADA Chief Executive Officer Tony Safoian. “The SADA and Google Cloud combination is an impactful one — and our goal for customers is to help them grow and scale while boosting innovation within their organizations.”

Consulting partners such as SADA play an important role in Google Cloud’s growth strategy. Enterprises, partially outside the tech sector, often don’t have the in-house expertise necessary to build and operate complex cloud deployments. By simplifying the task, Google’s consulting partners make its cloud platform easier to adopt for customers.

Google Cloud’s revenue grew 45% last quarter, to $5.54 billion. The business’ operating loss declined from $1.2 billion to $890 million. During the quarter, the number of Google Cloud customers spending more than $1 million through its cloud marketplace grew six times over the year before, while the number of deals worth over $1 billion jumped 65%.

Image: Google

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