Salesforce.com and Google – Adwords now, what’s next?

From Eweek:

Salesforce.com and Google are putting more muscle into their relationship by entering a “strategic alliance” to mutually market and promote the use of Google AdWords along with Salesforce’s customer relationship management platform.

The center piece of the alliance is the Salesforce Group Edition featuring Google AdWords, which is designed to enable customers to create, manage and track AdWords search advertising from within their Salesforce.com CRM applications, according to Bruce Francis, Salesforce.com’s vice president of corporate strategy.
Salesforce.com
Read the rest at:
Salesforce.com Forms AdWords Alliance with Google

The real question is where is this going? With Google for Domains email and Google’s Documents (spreadsheets, Word-like documents, and presentations), will a Google/Salesforce on-demand alignment mean an even bigger threat for Microsoft?

Salesforce.com has been successful at developing the on-demand market place for enterprise applications. They have created a new option that few other vendors have been able to create. The old ASP model was the hopes of many ERP vendors to have outsourced ERP. But it didn’t take off. But Salesforce and its outsourced CRM system is making inroads into todays corporate environment.

Now with Google, together they have the muscle and the wherewithal to lead corporations to an on-demand world.

Microsoft is working hard to catch up with Live.com, but will it impact the G/SF momentum? Time will tell.