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Microsoft, Adobe OK cloud-computing deal

Partnership will promote use of each other’s tools

By Matt Day, The Seattle Times
Published: September 30, 2016, 5:06pm

ATLANTA — Microsoft and Adobe have inked a partnership to promote the use of each other’s cloud-computing tools.

Under the deal, the maker of Photoshop will use Microsoft’s network of on-demand data storage and processing power to run its web-based digital media and marketing software.

In return, Microsoft will promote Adobe’s Marketing Cloud from inside its Dynamics 365 business planning and sales software.

The companies are also working to make sure customers can seamlessly work across each other’s software, they said in a joint statement Sept. 26. Financial terms of the deal were not disclosed.

The partnership announcement kicked off Ignite, Microsoft’s annual conference for information technology workers.

Satya Nadella, Microsoft’s chief executive, called the deal a “massive milestone” in an appearance here with Shantanu Narayen, his Adobe counterpart.

The agreement follows a pact last year that linked some Adobe products to Microsoft’s customer relationship management tools.

Cloud-computing, a growing business in which companies increasingly turn to rented, web-based infrastructure to run their software instead of their own back-room servers, has a been a showcase of Microsoft’s newfound willingness to partner with erstwhile competitors.

The Redmond company, formerly hostile to Linux and open-source software, has embraced both in an effort to get a wider base of customers for its Azure cloud-computing platform.

Microsoft said in a press event that two- thirds of the workload running on its data centers was powering non-Microsoft software or tools.

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