Strategic Partnership: Why ServiceNow Teams Up With a Large Cloud Provider

Microsoft entered into a partnership agreement with ServiceNow, whose solutions we are engaged in at the IT Guilds . Talk about the possible objectives of the transaction.

/ Unsplash / guille pozzi

Essence of the agreement

In mid-July, ServiceNow announced that some of their solutions will be deployed in the Microsoft Azure cloud. In particular, this applies to applications for organizations from highly regulated industries - for example, the government sector. According to ServiceNow, they will be able to increase the security of personal data.

Microsoft, in turn, plans to use ServiceNow software. In particular, we are talking about ITSM tools Information Technology and Employee Experience. They simplify the coordination of employees and reduce the volume of bureaucracy in coordinating tasks. IT will also act as a reseller of ServiceNow services.

What's up with this customers

New solutions for the Now platform ... ServiceNow says the company will be able to streamline business processes and offer more services to users. In particular, partner technologies are planned to be applied in the development of new analytical products on the Now platform. It is an intelligent cloud solution for automating workflows, such as approval automation. …and not only. New tools are planned to be implemented in Microsoft 365 with Azure. They will complement the software Adobe Inc and SAP SE, with which Microsoft also entered into partnerships.

Expansion of the user base. The market for enterprise SaaS applications is highly fragmented. But analysts say its leader is Microsoft - the corporation owns a share of 17%. For ServiceNow, a partnership agreement is an opportunity to attract new customers to their ecosystem and develop ITSM products together.

Analysts at Bloomberg believe that the influx of new users will help ServiceNow achieve its goal of 10 billion annual revenue.

More cloud services in the government sector. As we said earlier, ServiceNow uses the power of Azure Cloud to provide services to government organizations. By the way, the first steps in this direction were taken by companies in the fall. Now, government customers will be able to use these services through the Azure Government system. This is a secure cloud solution that Microsoft hopes to deliver to the Pentagon.

/ Unsplash / Joshua Fuller

New Market for ServiceNow - Germany. ServiceNow representatives say they plan to start working with German government organizations (and state sponsors in other European countries). The Azure Cloud covers many storage requirements. For the most part, they are dictated by the GDPR and other laws of local regulators.

About other cloud projects

Microsoft is not the only large organization with which ServiceNow has entered into a partnership agreement. In early May, it became known about the joint project of the company with Google. The provider’s cloud hosted the IT Operations Management (ITOM) services. Customers of both companies received a tool that simplified the deployment and management of IT infrastructure.

Organizations also plan to jointly develop artificial intelligence and machine learning systems to optimize work processes. ServiceNow's ITSM platform will use Google’s AutoML Translation technology. The idea is to use it to improve the quality of speech recognition in technical support chat bots.

/ Unsplash / Thomas Kelley

About this area, ServiceNow also works with Amazon. Their service Alexa for Business, an intelligent assistant for companies, gives employees the ability to plan personal meetings and use corporate applications using voice control. Among these applications, there are ServiceNow solutions for IT process management.

ServiceNow is also working with Adobe on tools to help improve customer service and technical support. And also with Deloitte - over systems that can increase employee productivity. It is likely that in the near future the company plans to conclude several more partnership agreements and transactions in order to achieve its goal of 10 billion annual revenue.

Our guides and related guides are on the IT Guilds corporate blog:


All Articles