Summary: Box will use the Azure cloud under a new agreement between the two companies.
Partnership and co-selling: Box has relationships with multiple cloud providers, but confirmed this is the first time it has inked a go-to-market agreement under which both parties will co-sell the service Box with Azure. The joint offering is expected to be available later this year, with information on pricing and geographic availability to come.
More details: Enterprise customers will be able to buy the Box content management platform as well as functionality like Box Governance, while storing their Box content on Azure. Box will explore using Azure’s AI and machine learning tools to extend the capabilities of the Box solution, for example with advanced content processing technologies like video indexing. Box will also use Azure’s cloud footprint to extend the availability of its Box Zones, launched in April 2016 and currently available in eight countries, most recently the UK.
Angle: Box’s platform would compete with Microsoft services like OneDrive and SharePoint. But Microsoft likely views Box as a differentiated enough product and an opportunity in and of itself as it has already integrated Box with Office 365. The partnership gives Box access to more markets, particularly where data residency is a key factor, and partnering with competing platforms can be turned into a channel opportunity for Microsoft.
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