Microsoft and ServiceNow Extend SaaS Partnership for Government Sales

ServiceNow has announced plans to house its full SaaS product offerings on Azure in addition to its own private cloud. Through this expanded partnership, the companies intend to make it easier for customers to integrate and optimize across the two companies’ products and platforms, and further enable enterprise customers in certain highly regulated industries, as well as government customers, to accelerate their digital transformation.

U.S. government agencies will be able to access the ServiceNow portfolio through “Azure Government,” which was purpose-built to address the capabilities, performance and compliance needs of U.S. government customers and their partners seeking to use integrated cloud services backed by analytics and an open application platform.

“There is an enormous opportunity for customers — including in the public sector — to apply the power of the cloud to become more efficient and responsive,” said Microsoft CEO Satya Nadella. “Our partnership combines ServiceNow’s expertise in digital workflows with Azure, our trusted cloud, so that customers can accelerate their digital transformation, while meeting their security and compliance needs.”

“Expanding our strategic global relationship with Microsoft enables ServiceNow to more fully leverage and integrate our platform and products with Microsoft’s leading enterprise technology and capabilities,” said John Donahoe, president and CEO of ServiceNow. “Together, ServiceNow and Microsoft will help our enterprise and government customers accelerate their digital transformation, creating great experiences and unlocking productivity.”

As part of a separate deal announced concurrently, Microsoft will implement ServiceNow’s IT & Employee Experience workflow products across its own business in an effort to improve operations, enhance employee experiences, and deliver stronger business outcomes.

The expanded partnership will also elevate ServiceNow to one of Microsoft’s strategic partners in its Global ISV Strategic Alliance Portfolio.

Channel Impact^®
This move should raise ServiceNow’s game within the government sector while also providing Microsoft with a much wider range of options with which to serve its government clients and build related market share.