Google makes cuts to cloud team: 5 things to know about its strategy

Mackenzie Garrity -

Since taking over as Google Cloud's chief, Thomas Kurian has had to make tough decisions and shake up the company in order to compete with Amazon and Microsoft, according to The Wall Street Journal.

Here are five things to know:

1. Most recently, Mr. Kurian decided to cut jobs within Google's cloud-computing division, including operational positions. The job cuts, which were disclosed to WSJ last week, were part of a restructuring to improve how Google works with cloud customers. 

2. Even with the job cuts, Google Cloud is focused on expanding its sales team. Today, Google Cloud has 1,500 sales employees, and by the end of the year, the company plans to double its staff to 3,000 employees.

3. Along with the restructuring, Mr. Kurian is focused on marketing its cloud products to six industries, including financial services and healthcare. He has expanded Google's regional sales team.

4. Under Mr. Kurian, Google is also contemplating whether to enter the Chinese market, former employees told WSJ. Although the size of China's market is attractive, Google cited political tensions as a negative factor to entering China.

5. However, not all of Mr. Kurian's changes and efforts have been supported. Current and former engineers have expressed frustration over the new focus on creating products for corporate buyers rather than products that excite them, reports WSJ. Additionally, sales members have reported their base salary declined while Google upped its bonus rate for deals.

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