Google Cloud has added another telco to its customer roster with the addition of Canadian service provider Telus. Google Cloud announced on Tuesday that it has signed a 10-year collaboration deal to help fuel Telus' internal digital transformation while also jointly developing new products and services.
As part of the partnership, Telus will accelerate its public cloud adoption on Google Cloud’s enterprise platform to drive greater operational efficiency across its core IT and network infrastructure. Google Cloud will also become one of Telus' partners in the delivery of 5G services and Multi-Access Edge Computing (MEC), which uses Google Cloud’s managed application platform, Anthos.
Last year Google Cloud announced its telecommunications strategy that included its Anthos for Telecom, which is a platform for delivering workloads to the network edge on Google Cloud. Anthos is an open hybrid and multi-cloud application platform that offers telecommunications companies the flexibility to modernize existing applications, build new ones and securely run them on-premises and across multiple clouds.
Google Cloud has combined Anthos, artificial intelligence (AI), and machine learning (ML) with its global edge network and its telco partners’ networks to tie 5G into the cloud.
Telus will also leverage Google Cloud Contact Center AI to improve its customer interactions and cut costs. Google Cloud said Telus would also benefit from enhanced agility, scalability and reliability across its wireless and wireline services and various lines of its business including security, agriculture and healthcare.
The two companies said they would work together on new industry solutions and go-to market strategies across communications technology, healthcare, agriculture, security and automation. One of the key areas of focus includes redefining how healthcare and agriculture solutions are delivered. That effort will include providing consumers with fresher and healthier food by improving traceability, and enabling business customers to streamline their IT and network operations.
Both companies will also collaborate on "the evolution of entertainment and smart home technology, bringing state-of-the-art connectivity, control, and convenience to more families and businesses."
Telus and Google Cloud will prioritize working together to improve the social, economic, environmental, and health outcomes of Canadians, which includes Google Cloud working with Telus on reducing its carbon footprint. They will also collaborate on creating value across the entire supply chain for businesses that have been impacted by COVID-19, and optimize industry solutions for social impact through data analytics and machine learning.
“This announcement represents an important milestone in our longstanding growth strategy, reflecting our team’s unwavering commitment to innovation as we accelerate our digital transformation journey,” said Telus CEO and President Darren Entwistle, in a statement. “Our strategic partnership with Google will propel our digital leadership across the communications technology, healthcare and agriculture sectors, whilst amplifying our Customers First priority, redefining how service is delivered in Canada and globally.
"As world leaders in social capitalism, our organizations will leverage the potency of our technology to create meaningful human and social outcomes, as we continue to build stronger, healthier and more sustainable communities.”
Google Cloud also has deals in place with Orange, AT&T and Telefónica, among others, to develop 5G services and applications using edge compute. Google Cloud is competing for telco customers against Microsoft Azure, Amazon Web Services, IBM and Oracle.
After reporting the cost and operating profit of Google Cloud for the first time last week, Google Cloud's revenue grew 47% year-over-year to $3.84 billion. Google Cloud, which is comprised of Google Cloud Platform and Google Workspace, posted operating losses of $1.24 billion in the fourth quarter compared to losses of $1.19 billion in the same quarter a year ago.
Google's cloud segment had revenues of $13.06 billion last year and an operating loss of $5.61 billion. On the earnings call, Alphabet and Google CEO Sundar Pichai said Google Cloud Platform's growth was "meaningfully above the growth rate for cloud overall."