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March 9, 2010 6:15 PM PST

Google announces business app store for Google Apps

by Tom Krazit
(Credit: Google Apps customers now have a wide variety of third-party applications they can integrate into their individual Google Apps domains.)

Updated at 6:32 p.m. and 7:35 p.m. with additional details.

MOUNTAIN VIEW, Calif.--Google is bringing the app store concept to business cloud computing, giving software developers a storefront for Google Apps customers.

The Google Apps Marketplace, announced here Tuesday at the company's Campfire One event, will allow Google Apps users to purchase third-party applications to run atop the Google Apps suite, said Vic Gundotra, vice president of engineering for Google. Developers will have to pay a one-time $100 fee to list their applications in the store, and Google will get a 20 percent cut of all applications sold through the store, he said.

Google's interest in such a store was first revealed last month by The Wall Street Journal. The idea is that although Google has an army of capable software developers, it can't hope to anticipate the needs of every single Google Apps user. Third-party developers can fill those gaps and make Google Apps more useful to businesses with unique needs that don't quite fit into the Google Apps suite.

Take payroll, for example. Google isn't in the enterprise-resource planning software market (yet), but Intuit is, said Martin Gates, chief technology officer for online payroll at Intuit. At the camp-themed developer meet-up, he demonstrated how Google Apps users can integrate an Intuit-developed Web-based payroll application that's linked with Google Apps, allowing employees to download their pay stubs simply by clicking on an icon in their Google Calendars.

Scott Farquhar, CEO of software tools company Atlassian, showed how Google Apps can be integrated directly into his company's software development tools. For example, software developers using Atlassian's project-management tools can have Gmail, Google Calendar, and Google Chat applications integrated directly into the software development tool, so they don't have to leave that window to check their e-mail or chat with colleagues.

Google wants to encourage enterprise software customers to think about using Web-based applications as opposed to more expensive desktop-based applications for their critical business applications. It's both a competitive move against bitter rivals like Microsoft and a bid to cement the idea that the Web is the software development platform of the future.

In order to convince more businesses to make that investment, however, it needs to offer everything a business customer gets from their current software in the Web-based alternative. Famously conservative IT managers aren't likely to make the switch to Google Apps--although almost 2 million businesses already have, Gundotra said--unless Google can assure them of the flexibility of its approach.

Developers will be required to list their applications with the Google Apps Marketplace, Glazer said. However, Google is not imposing any sort of revenue model on those developers, allowing them to charge per application, per user, or on a subscription basis for the applications they sell that are integrated with Google Apps, he said.

Applications are available immediately through the marketplace. Google and its partners are also testing ways to integrate third-party applications directly into Gmail, allowing users to access snippets of their enterprise apps directly from their Gmail inboxes. These "contextual gadgets" will arrive at a later date, Glazer said.

Tom Krazit writes about the ever-expanding world of Google, as the most prominent company on the Internet defends its search juggernaut while expanding into nearly anything it thinks possible. He has previously written about Apple, the traditional PC industry, and chip companies. E-mail Tom.
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by t8 March 9, 2010 10:56 PM PST
Google Search is Windows and Google Apps is Office.

They are a 2-trick pony.
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by jessiethe3rd March 10, 2010 8:26 AM PST
I guess that's fine and dandy as long as you are always connected to Skynet.
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by myERP March 11, 2010 3:23 PM PST
Being part of the Google Apps Marketplace launch is a fantastic opportunity for a small start-up like ours (myERP.com) to reach out to millions of small businesses that are already Google Apps customers.

And the tight integration with Google Apps, let Google Apps user install our business app in less than 30 seconds. Something that before (with SAP or Netsuite) would take days/weeks/months, and an army of consultants!

Just a few hours after the Marketplace was live, we have reached the top 5 of the most installed apps in the Marketplace. Yes, I'm talking about an ERP!

But myERP.com is the next generation of ERP:
- it's an all-in-one business suite (CRM, accounting, billing, sales and inventory)
- it's in the cloud
- and it's free (for 2 users)

So, to manage your business, all you need is Google Apps+myERP.com. That's it!
Francois
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Relevant Results focuses on the big Internet companies of our time, tracking the evolution of search, communication, and business on the Web. Tom Krazit examines how a shift to mobile computing and the growing demand for online content affect our understanding of how to deliver information in the 21st century, in between bemoaning the state of the New York Mets and searching for the perfect IPA.

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