The cuts reportedly hit Google Cloud’s technical solutions engineers in California, Texas, Zurich and Australia.
Google Cloud has confirmed to CRN that the company is reorganizing to save money, eliminating and reshuffling dozens of roles in its support teams.
In a statmeent to CRN, a Google Cloud spokesperson said that the reshuffling is in line with the company’s frequent evaluations for how it supports customers.
“As Google Cloud grows, we frequently evaluate our approach to providing the best service and support for our customers,” according to the statement. “The changes announced today will ensure we have the right people, partners, and systems in place to meet our customers’ needs now and into the future.”
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The cuts hit Google Cloud’s technical solutions engineers in California, Texas, Zurich and Australia, according to Business Insider. Google plans to reshuffle the support organization into Google Cloud, data analytics subsidiary Looker, productivity applications suite Workspace (formerly known as G Suite) and mergers and acquisitions (M&A).
Technical solutions engineers help customers and engineers with Google Cloud applications and build internal products for support. The cloud giant will also consolidate teams in select regions, according to Business Insider.
Affected employees have 60 days to find new positions in Google. Those who don’t may receive a severance package, according to Business Insider.
Google is considered the No. 3 cloud vendor in the market after Amazon Web Services and Microsoft Azure. In February, Google reported that fourth-quarter revenue rose 45 percent to $5.5 billion from the same period last year – with Google Cloud Platform (GCP) revenue outpacing that growth — as parent company Alphabet’s overall performance easily beat Wall Street expectations.
Google Cloud’s revenue comes primarily from fees received for GCP services and Google Workspace (formerly known as G Suite) collaboration tools. GCP recorded more than 80 percent growth in total deal volume in 2021 compared to the prior year and more than 65 percent growth in the number of deals exceeding $1 billion.
Phil Walker, CEO of Network Solutions Provider — a Google partner based in Manhattan Beach, Calif., and member of CRN’s 2022 Managed Service Provider 500 — told CRN in an interview that he empathizes with any Google employees out of a job.
Google reportedly taking on less technical support work does provide an opportunity to partners to take on more implementation- and migration-related jobs, Walker said.
“There may be some customer gaps that may fall more to the channel, which will probably drive more MSPs being Google Cloud providers,” he said.