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December 4, 2014

Google to hike reseller commission to intensify office push

The new commission structure is expected to be announced later this month.

By CBR Staff Writer

Google is planning to increase resellers’ commission to boost sales of office software, taking a direct competitive aim at Microsoft.

Firms who sell Google’s workplace software currently get 20% of the revenue, but the company now has plans to increase the share to encourage resellers to push for more office software, according to sources familiar to Wall Street Journal.

The new commission structure is expected to be announced later this month, reports the Wall Street Journal.

According to an estimate from Gartner, as cited by the news agency, Microsoft currently dominates in the office software segment with 90% share while Google has less than 1% share in the $16bn market.

The company has already hired Amit Singh from Oracle to head Google for Work to strengthen its office push, so that the company can earn a larger slice.

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