Salesforce Names AWS Its 'Preferred Public Cloud' Provider As Rumors Of Acquisition Swirl


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A week after CEO Marc Benioff talked in an earnings call about bolstering his company's relationship with Amazon Web Services, Salesforce on Wednesday revealed it would be expanding its core services into international markets on the backbone of Amazon's public cloud.

The international expansion plan represents the first time Salesforce will host its core Software-as-a-Service portfolio -- Sales Cloud, Service Cloud, App Cloud, Community Cloud, Analytics Cloud -- on AWS' infrastructure, the companies said in separate blog posts.

With AWS as its "preferred public cloud infrastructure provider," states the Salesforce blog, "Salesforce will utilize AWS in select international markets to help bring new infrastructure online more quickly and efficiently.”

[Related: AppExchange Turns 10: The Most Popular Salesforce Partner Apps]

The move comes two weeks after a major Salesforce cloud outage caused by a database error resulted in customers throughout North America being shut out of their CRM, and some losing hours of data entered into the system.

Salesforce is already an AWS customer. It also does business with Amazon's two hyper-scale rivals: Google Cloud Platform and Microsoft Azure.

The Salesforce blog says the company will keep investing in its own data centers as well.

Last week, Benioff told analysts during Salesforce's first quarter 2017 earnings call that the company was exploring ways to move to market more aggressively with AWS. Benioff said more news of that burgeoning relationship would be shared at the company's Dreamforce conference, slated for October.

After Salesforce reported those stellar financials, on CNBC's "Mad Money," host Jim Cramer asked Benioff about persistent rumors of wanting to sell Salesforce.

Benioff's answer -- essentially that he's been working on the company for 18 years, and "is making personal decisions as that goes" -- clearly wasn't in line with Cramer's expectations, and prompted the host to tell Benioff it sounded like he indeed was contemplating selling the company.

In April 2015, Salesforce reportedly turned down a $55 billion bid. CNBC later reported the offer came from Microsoft, and that Benioff, at the time, wanted $70 billion to sell his company.

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